Tuesday, November 28

Putin orders government and central bank to reach agreement on cryptocurrencies

Recently, Russia has been adopting different views towards cryptocurrencies, the problem is that these views are often contradictory, with parts of the government proposing a ban on cryptocurrencies in the country, while others want to create a more friendly environment for the sector. .

The confusion, which mainly comes from the Central Bank, which is often opposed to Bitcoin compared to the rest of the government, ended up even requiring the intervention of Vladimir Putin.

as advertised not portal do Kremlin, the President of Russia called on the nation’s governments and the Central Bank to come to an agreement on the plight of cryptocurrencies.

Putin says Russia has advantages

In a videoconference held between the president and government officials on the 26th, Putin said he was familiar with the discussions on cryptocurrency legislation.

“The Central Bank should not stand in front of our technological progress and is making the necessary efforts to introduce the latest technologies in our area of ​​activity.” Said the head of state of Russia.

According to the President of Russia, the position of the regulators is motivated by the fact that the expansion of this type of business can pose risks for Russians, given the volatility of cryptocurrencies.

However, he was also keen to point out that Russia offers a wide field for the growth of cryptocurrencies and even a place where there is scope for growth for the entire sector with the many advantages that the country offers.

“Although, of course, we have competitive advantages here, especially in mining, in the spare electrical energy and in the trained and available personnel in the country.” concluded.

Putin’s statement does not contain an unequivocally prohibitive judgment. On the contrary, Russia’s emphasis on its potential reinforces the view that cryptocurrency trading and mining activities will be regulated, not prohibited.

Russia and Bitcoin

On January 20, the Central Bank proposed to completely ban the issuance, mining and circulation of cryptocurrencies in Russia.

However, on January 25, the Ministry of Finance, represented by the head of the financial policy department, Ivan Chebeskov, opposed a total ban on cryptocurrencies in the Russian Federation.

“The Ministry of Finance is actively involved in the development of legislative initiatives regarding the regulation of this market and, in turn, we have a regulation concept prepared, which we are discussing in the Ministry of Finance and has now been sent to the government. But while we don’t have a decision on this concept, there hasn’t been an official government position,” the official said.

With Russia accounting for about 11% of the world’s Bitcoin mining, according to the Central Bank itself, it is important that the country find a common position, negative or positive, towards the crypto market among all authorities.

That’s exactly what Putin asked during the meeting, urging the parties involved to report to him any decision involving the crypto market.