Bank of Russia develops national virtual currency

Maria Nikolova

In the face of the skeptical comments made by Bank of Russia’s Governor Elvira Nabiullina regarding Bitcoin’s future in Russia, the “Megaregulator” has already started work on the creation of a national virtual currency.

After yesterday’s rather skeptical statement by Bank of Russia’s Governor Elvira Nabiullina about the future of Bitcoin in Russia, today’s news on the crypto-currency front is more positive. The Bank of Russia has started work on the creation of a national virtual currency, Olga Skorobogatova, Deputy Governor at the central bank said today, according to a report by information agency RIA Novosti.

“We’ll definitely make it to the point of having a national virtual currency”, Ms Skorobogatova was quoted as saying. “It is a question of time”, she added.

Last week, Ms Skorobogatova said the regulator was planning to to tax bitcoin as a digital asset. The central bank is poised to present the relevant legislative documents in a month.

Unlike Ms Skorobogatova, Bank of Russia’s Governor Elvira Nabiullina was less enthusiastic in her comments regarding crypto-currencies in Russia. On Thursday, she said there was no time frame on any potential authorization of Bitcoin and that the bank sees many risks associated with this “asset”. Ms Nabiullina noted that the regulator has its doubts about Bitcoin and that it does not see substantial benefits from introducing digital assets in the Russian economy.

The debate around the future of Bitcoin and blockchain technologies in Russia has been heated lately. In April this year, Russia’s Deputy Finance Minister Alexey Moiseev said Russia could recognize crypto-currencies as legal in 2018. His optimistic statement, however, was followed by that of Maxim Grigoriev, Chief of the Centre for Financial Technologies at the Bank of Russia, who said talk of any legalization of crypto-currencies in Russia was premature.

On January 27, 2014, the Bank of Russia published an announcement entitled “On the use of virtual currencies, and Bitcoin, in particular, when conducting transactions”. In the document, the regulator warned the public against using virtual currencies for exchange purposes. The bank referred to Article 27 of the law “On the Central Bank of the Russian Federation”, which prohibits the issue of money surrogates in the Russian Federation. The regulator stated that the provision of virtual currency exchange services by business entities will be treated as involvement in suspicious activities. These actions are interpreted as violations of the laws on anti-money laundering and terrorism funding.

Read this next

Retail FX

Banxso announces 8.7% interest rate on deposits in South Africa

“With Banxso, they can enjoy the benefits of both worlds – earning competitive interest and having the freedom to trade, all within the same platform.”

Industry News

FINRA to publish transaction details in U.S. Treasury securities

“Consistent with our longstanding practice, FINRA is introducing greater transparency in a calibrated and careful manner, benefiting liquidity and resilience in this critical market while also mitigating potential information leakage concerns.”

Institutional FX

OpenYield launches “cheap and easy” fixed income trading for brokers

“We’re on a mission to make bonds cheap and easy to trade, and are excited about the opportunity to build generational capital markets infrastructure.”

Digital Assets

Sumsub and Mercuryo publish a guide for VASPs: “Mastering Travel Rule Compliance”

“At Sumsub, we’ve concentrated our efforts on filling the gap in understanding the complexity of Travel Rule regulation and helping organizations find the best solution to stay safe and compliant while minimizing costs and avoiding potential risks of non-compliance. This guide we created with Mercuryo, our trusted partner, is the ultimate navigation tool all VASPs can consult.”

Digital Assets

Bitget Wallet Leads with Record Swap Volume & New Crypto Innovations

This week, Bitget Wallet achieved a milestone by surpassing Metamask with a record 388,757 Swap order transactions, securing the global lead. The significant 7-day trading volume, almost 68,000 more than its rival, underscores its liquidity and user trust. This robust activity signals Bitget Wallet’s prominent role and reliability in the dynamic crypto market.

Digital Assets

Embarking on a Digital Currency Journey

Imagine you’ve stumbled upon a treasure map, leading you to untold riches hidden in the vastness of the internet. Instead of gold coins and jewel-encrusted goblets, this treasure comes in the form of digital currencies, the modern-day loot coveted by many.

Reviews

Traders Union Experts Share The Trading Analyst Review For 2024

Navigating options trading in rapidly shifting markets poses a considerable challenge. This is where options trading alert services become invaluable. They aid traders in keeping abreast of evolving opportunities and market trends. In this assessment, Traders Union experts scrutinize The Trading Analyst alert service to ascertain its efficacy. 

Digital Assets

BlockDAG’s Presale Achieves $9.9M: Aiming For A 5000-Fold ROI As Cardano’s Price Rises And Fantom Launches Sonic

Explore Cardano’s surge, Sonic’s efficiency, and why BlockDAG’s growth makes it the top crypto choice. A deep dive into the future of blockchain investments.

Digital Assets

US, UK probe $20 billion Tether transfers tied to Russian exchange.

U.S. and UK authorities are investigating the movement of $20 billion in the USD-pegged stablecoin tether (USDT) through Moscow-based exchange Garantex.

<