President of Minneapolis Bank Describes Cryptocurrencies as “Verbal Okroshka”, 2026/02/20 11:05:08

Neel Kashkari, the President of the Federal Reserve Bank of Minneapolis, expressed doubts regarding the intrinsic value of cryptocurrencies, referring to them as “verbal okroshka”—a technology with appealing marketing but lacking genuine practical utility.

According to him, despite over a decade of existence, crypto assets have not evolved into a widespread payment method in the United States and have failed to integrate into the actual economy. Kashkari also expressed skepticism towards claims that cryptocurrencies are convenient for international transfers.

He shared a personal experience: when attempting to send cryptocurrency to relatives in the Philippines, they faced substantial fees for converting it into the local currency to purchase essential goods. Such costs could potentially be avoided if all countries adopted a unified crypto platform for payments; however, he noted that governments are not prepared to abandon their own monetary policies.

The head of the Federal Reserve Bank urged the public to critically assess vague explanations from developers of crypto projects that utilize trendy terminology to promote tokens. In his view, money transfer services like Venmo and Zelle already surpass stablecoins in the payments sector.

Kashkari has previously criticized cryptocurrencies, asserting that they are primarily used for illegal activities. He has also expressed skepticism about the prospects of central bank digital currencies, pointing out that they are unlikely to significantly enhance the speed and efficiency of payments.