Crypto News: A gift to Putin

As Boris Johnson prepares to stand down as UK prime minister — after an avalanche of resignations from his government — one man who must be enjoying the show is Vladimir Putin.

Johnson has, among other things, described the Russian president as a "crocodile" for his invasion of Ukraine. The UK has been one of Kyiv's biggest supporters, sending it weapons and money and joining allies in slapping sanctions on Moscow.

Key reading

The chaos engulfing Johnson and his administration is red meat for the propaganda machine that blankets Russian airwaves, not just about the conflict in Ukraine but its key allies like the UK. It fits Putin's narrative about the "West" lecturing others and ignoring its own failings.

The Kremlin will no doubt relish the fact that less than two weeks after the Group of Seven pledged to stand by Ukraine for the long haul, the UK is just one of its number suffering domestic turmoil.

Italy's ruling coalition is in trouble and France's Emmanuel Macron is politically weakened. With Russia putting the squeeze on energy, Germany is struggling just to keep the lights on, while Joe Biden is fighting a losing battle in the US against inflation.

There are real risks from such political drama, most notably in the UK.

With British politicians jostling to secure a prime spot in a new government, the gaze could move off Ukraine and its ongoing needs.

At a time that the US and its allies have been talking about potential price caps on Russian oil and gas and other penalties for Putin's war, it is hard to see anyone in London available to get on the phone to discuss them with authority or to speak with top Ukrainian officials.

Meanwhile, the UK's own problems are piling up. There are more transport strikes looming, British airports have faced disarray, inflation is running high and poverty is spiking.

If Johnson makes good on his plan to remain as caretaker premier until October, it will guarantee months of political infighting, and the drama over who will replace him leaves the UK in limbo.— Rosalind Mathieson

Johnson meets Ukrainian President Volodymyr Zelenskiy in Kyiv on June 17. Photographer: Ukrainian Presidential Press Office /AP

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Contenders circle | Front-runners to succeed Johnson may include ex-Cabinet members Sajid Javid and Rishi Sunak, whose resignations precipitated the premier's downfall, as well as Foreign Secretary Liz Truss and Defence Secretary Ben Wallace. Attorney General Suella Braverman has already declared her desire to run. Other contenders may be the new Chancellor Nadhim Zahawi, Trade Minister Penny Mordaunt and former Foreign Secretary Jeremy Hunt.

Biden vs Trump | Biden accused former President Donald Trump of "dismissing and ignoring the forgotten people he promised to help" in an unusually blunt attack, indicating that he may be trying to turn the November midterm elections into a referendum on his predecessor. The attacks come as Biden has seen his approval rating slump amid concerns about inflation and the state of the economy.

Republican Senator Lindsey Graham will fight a Georgia prosecutor's subpoena seeking his testimony for a probe into possible interference with the 2020 election results there.

Power prices in Europe smashed through records as Russia's tightening of energy supplies prompts government action to avoid shortages.

German plea | Germany's vice chancellor is urging Canada to send back a Nord Stream turbine caught up in Russian sanctions before critical maintenance work on the pipeline begins next week. Robert Halbeck said in an interview that doing so would remove an excuse for Putin to keep the conduit closed, crippling Europe's ability to stockpile gas ahead of winter.

German Chancellor Olaf Scholz accused Putin of using natural gas deliveries as a political weapon.

Best of Bloomberg Opinion

Hack warning | US FBI Director Christopher Wray warned Western companies that China aims to "ransack" their intellectual property so it can dominate key industries, escalating a dispute between the world's two largest economies over hacking. The Asian nation's spies are snooping on industries ranging from aviation to AI to pharma, he said.

China's cabinet stressed the need to bolster information security, following a huge leak of personal data that could be the largest cyber attack in the country's history.

Explainers you can use

Ballot fears | Brazil's top electoral authority warned the country may face post-election riots worse than those at the US Capitol when Trump's supporters tried to overturn his 2020 defeat. Supreme Court Justice Edson Fachin urged Brazilians to support officials when they declare the results of October's presidential vote. Incumbent Jair Bolsonaro has repeatedly questioned the reliability of Brazil's electronic voting system, without offering evidence.

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News to Note

African nations need $424 billion this year to help them cope with the devastation caused by the coronavirus pandemic, the head of the continent's top multilateral lender said.
Electricite de France Chief Executive Officer Jean-Bernard Levy will step down amid government plans to nationalize the debt-laden utility as it battles widespread reactor shutdowns and soaring costs.
British Airways is nearing a deal on pay with one of the unions representing check-in employees, a source says, potentially avoiding further disruption after having to scrap thousands of flights due to a staff crunch.
Yemen Shiite Houthi rebels have set a new condition for partially lifting the siege of the city of Taiz as a part of the truce which went into effect April 2.
Cyberbullies in Japan could now face up to a year in prison as the government cracks down on online abuse following the suicide of a 22-year-old professional wrestler and reality TV star who was hounded on social media.

And finally ... As Crown Prince Mohammed bin Salman races to diversify Saudi Arabia's oil-dependent economy, the $620 billion sovereign wealth fund known as PIF — which he chairs — is supplanting a pedigreed business class to become one of the nation's most powerful institutions. This is Saudi Inc. replacing the conservative Islamic kingdom of old, and as Vivian Nereim writes, its self-styled founder is ripping up the rule book.