Copy link
Increase text size
Decrease text size
Link copied

Bank of Russia supports idea to impose cryptocurrency ban

Mon, 02 Dec 2019, 06:27 am UTC

The debate on the ban of cryptocurrencies in Russia has once again come to the forefront with the central bank saying that it supports the idea to put a ban on this emerging asset class.

Last week, the Bank of Russia told state-operated news agency RIA that cryptocurrencies carry “significant risks”, including their potential to be used for money laundering and terrorism financing activities as well as sharp exchange rate fluctuations.

“In our opinion, private cryptocurrencies cannot be equated with fiat money and cannot be legal tender. If it is decided to ban cryptocurrencies as a means of payment at the legislative level, we consider it appropriate to support this position,” the central bank added.

The legal status of smart contracts, cryptocurrencies, initial coin offerings (ICOs), mining in the country is uncertain. In a bid to introduce crypto regulation, three bills were submitted to the State Duma last year. However, only two of these have been adopted so far – one related to digital rights and the other on raising funds using investment (crowdfunding) platforms, RIA reported.

Last month, reports suggested that the Russian Ministry of Internal Affairs was seeking to create legislation allowing authorities to force cybercriminals to give up stolen assets. The department has mandated the proposal on these lines to be completed by Dec. 2021.

Also, while a number of central banks around the world are increasingly looking into the possibility of issuing central bank digital currency (CBDC), the Bank of Russia sees no obvious reason to launch one. Elvira Nabiullina, chairwoman of the central bank, said (translated online from TASS):

“As Russia’s Central Bank, we have been studying this topic and the need to issue a national cryptocurrency is not obvious for us. Not only for technological reasons, but also because it is (difficult) to really estimate what advantages will the national digital currency give, for example, in comparison with existing electronic non-cash payments. There are many risks, and the advantages may not be obvious enough.”

TokenPost | [email protected]

<Copyright © TokenPost. All Rights Reserved. >

To leave a comment, please sign in.
More
  • Bitcoin (BTC) $9,252.75 (+0.02%)
  • Ethereum (ETH) $239.55 (+0.12%)
  • XRP (XRP) $0.224600 (+0.84%)
  • Bitcoin Cash (BCH) $230.94 (-2.07%)
  • Bitcoin SV (BSV) $181.96 (-1.59%)
  • Bitcoin (BTC) $9,252.75 (+0.02%)
Feb 21, 2020 (Friday)
12:01
Paxos launches blockchain-based securities settlement solution with Credit Suisse and Instinet
12:00
Brazil to launch new payment system in response to cryptocurrencies
11:59
Digital currency exchange Coinbase Pro lists Kyber Network token
11:57
Norwegian Air to soon start accepting crypto payments
10:21
Swedish central bank begins CBDC pilot with Accenture
09:51
Italian soccer team Juventus launches ethereum-based digital collectibles with Sorare
Feb 20, 2020 (Thursday)
14:16
Telecom companies complete cross-carrier mobile payments using blockchain
11:53
National Stock Exchange of Australia to develop DLT-based digital securities trading platform
11:00
South Korean ICO project discontinued, to return $7.5M to token holders
10:36
Samsung maintains crypto support in soon-to-launch Galaxy S20
09:41
BIS appoints Innovation Hub heads to lead Singapore and Switzerland
09:15
Coinbase becomes first crypto company to receive Visa principal membership
08:59
Dubai Economy and six banks launch KYC Blockchain Consortium
08:26
Crypto Technicals: ETH/USD under downside pressure after 'Bearish Engulfing' pattern
07:12
Tim Draper buys $1M worth of Aragon Tokens to create digital courts for DAOs
06:13
Renewable energy firm Acciona commits to take CBI’s blockchain-based carbon credits trading platform global
05:02
Crypto Technicals: BTC/USD trades below 21-EMA, break below 4H 200 MA (9386) to trigger further downside
04:56
Crypto exchange Coinfloor to launch a simplified bitcoin buying service
04:35
Indonesia’s customs department joins IBM- Maersk blockchain shipping platform “TradeLens”
Feb 19, 2020 (Wednesday)
12:46
Crypto custodian BitGo acquires digital securities startup Harbor
Subscribe to the TokenPost newsletter!
Don't show me this again today.
Back to top
Copyright ⓒ TokenPost. All Rights Reserved.
PUBLISHsoft