{"id":5080,"date":"2022-01-21T12:41:15","date_gmt":"2022-01-21T12:41:15","guid":{"rendered":"https:\/\/mailinvest.blog\/index.php\/2022\/01\/21\/russia-wants-to-ban-cryptocurrency-trading-and-mining\/"},"modified":"2022-01-21T12:41:15","modified_gmt":"2022-01-21T12:41:15","slug":"russia-wants-to-ban-cryptocurrency-trading-and-mining","status":"publish","type":"post","link":"https:\/\/mailinvest.blog\/index.php\/2022\/01\/21\/russia-wants-to-ban-cryptocurrency-trading-and-mining\/","title":{"rendered":"Russia wants to ban cryptocurrency trading and mining"},"content":{"rendered":"

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What just happened?<\/strong> Russia has proposed following China in coming down hard on cryptocurrency. The country\u2019s central bank has suggested banning the use and mining of crypto within its territories over concerns it could damage Russia\u2019s financial system and environment. <\/p>\n

Elizaveta Danilova, the Bank of Russia’s Financial Stability Department director, presented the \u2018Cryptocurrencies: trends, risks, measures\u2019 report<\/a> during an online press conference.<\/p>\n

The report states that cryptocurrency bears many similarities to a pyramid scheme and is often used in criminal activities. It also undermines monetary policy sovereignty by offering citizens a way to take their money out of the national economy.<\/p>\n

The report goes on to say that crypto mining is damaging to Russia\u2019s green agenda, a risk to its energy supply, and can worsen the adverse effects of cryptocurrency\u2019s spread.<\/p>\n

\u201cPotential financial stability risks associated with cryptocurrencies are much higher for emerging markets, including in Russia,\u201d the central bank said.<\/p>\n

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Making payments using crypto is already banned in Russia, and mutual funds are prohibited from investing in it. Yet, the country is still the world\u2019s third-largest crypto mining nation<\/a> behind the US and Kazakhstan.<\/p>\n

While the bank does not propose making the owning of cryptocurrency illegal, it wants harsher punishments for those who break the current rules and is asking for new laws to ban crypto\u2019s use. As for mining, the report states that the “optimal solution” would be to ban it altogether in Russia.<\/p>\n

It should also be noted that people with offshore exchange accounts would still be able to trade crypto, and any ban first needs to be passed by law.<\/p>\n

Bitcoin\u2019s price has fallen from around $43,200 to just under $39,000 in the last 24 hours.<\/p>\n

h\/t: Bloomberg<\/a><\/p>\n<\/p><\/div>\n