Minneapolis Fed President: "Crypto assets are utterly useless...nothing more than buzzwords"

Neel Kashkari, president of the Federal Reserve Bank of Minneapolis, delivered a sharp critique of crypto assets—including bitcoin (BTC) and stablecoins—saying they have yet to demonstrate any real-world utility.

Speaking on the 19th (local time) at the “2026 Midwest Economic Outlook Summit” held in Fargo, North Dakota, Kashkari made the remarks as he directly contrasted the everyday usefulness of artificial intelligence (AI) tools with crypto assets.

He noted that “crypto assets have been around for more than 10 years but are utterly useless,” while saying AI “has real and long-term potential for the U.S. economy.” He then asked, “Have you used AI tools like ChatGPT or Gemini in the past week?” before adding, “If anyone has ever bought or sold something with bitcoin, raise your hand,” comparing the practical, felt usefulness of the two technologies.

He also voiced a negative view of stablecoins’ payment functionality. “These terms sometimes sound like meaningless buzzwords,” Kashkari said, asking, “What can you do with a stablecoin that you can’t do today with Venmo, a mobile money-transfer app?”

He pushed back as well on claims that stablecoins are a cheaper and faster means for cross-border payments. “Even supporters acknowledge these benefits are not aimed at U.S. consumers,” he said. “I recognize adoption is increasing in emerging markets, but technical limitations still remain.”

Kashkari added that “stablecoin advocates promise instant transfers, but the recipient has to convert it back into local currency for everyday payments such as buying groceries,” noting that “significant costs may arise in that process.”

The remarks differ in tone from the Trump administration’s policy stance of using bitcoin and dollar-based stablecoins as strategic assets. Previously, U.S. Treasury Secretary Scott Bessent argued that regulated stablecoins could strengthen the dollar’s dominance in the global payments market and expand U.S. financial influence.