Neel Kashkari criticizes crypto as 'utterly useless'

Neel Kashkari called cryptocurrencies and stablecoins "utterly useless," dismissing their practical benefits and highlighting skepticism within the Federal Reserve.

Neel Kashkari has recently intensified his criticism of cryptocurrencies and stablecoins during public appearances. He labeled digital assets as "utterly useless" and dismissed claims about their practical benefits, especially for cross-border transactions, as mere rhetoric. Kashkari argued that cryptocurrencies and stablecoins do not offer meaningful economic utility or improvements over current financial systems. He pointed out the persistent need to convert digital assets into local currency for daily use as a significant obstacle to adoption. Kashkari contrasted the limited mainstream adoption of crypto with the tangible utility provided by artificial intelligence tools. He also cited past market volatility and exchange collapses as evidence of systemic weaknesses within the crypto sector. His remarks have sparked debate in financial circles and reflect a more direct and critical stance than previous Federal Reserve commentary. Additionally, Kashkari emphasized the importance of central bank autonomy, criticizing efforts to undermine the Federal Reserve's independence.