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Russian Ministry Considers Crypto Risky For Most Citizens But Suitable For Few

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Ivan Chebeskov, the director of the Ministry’s Financial Policy Department, recently commented on the usage of crypto by Russians. The remarks were made public by the media outlet Nizhny Novgorod. According to it, the bureaucrat suggested that crypto is highly risky for most of the citizens of Russia. However, the ministry said it would suit some “professional investors.”

He added that most Russians should not consider cryptocurrency as an investment or saving alternative form of savings and dubbed them as “high-risk financial instruments.” Despite that, the department neither supports a ban on cryptocurrency nor advises citizens to avoid using tokens. 

Chebeskov suggested that coins suit citizens with diverse investment securities and real estate portfolios. HoweverBut, again, he warned the citizens to be cautious with digital assets. 

Regarding the government’s stance on crypto, Chebeskov said that crypto remains a risk-prone instrument for us. He also anticipated a rise of 100-200% mark in the volatility of digital assets. This particular remark went in contrast with that made by the Central Bank. 

Sometime back a few days back, the same media house informed the bank’s chief, Kirill Pronin. He said that investment in cryptocurrencies could be subjected to sanctions. He revealed that more than 800 Russia-based crypto wallets had been blocked.  

Notably, Russian policymakers have mulled over the proposed crypto legislation over the past few years but haven’t been able to make a firm decision. And it seems the Central Bank and Ministry haven’t been on the same page regarding crypto. While the Ministry wants to regulate digital assets, the Central Bank favors banning them. 

The ministry is particularly emphasizing keeping the crypto operations within the country. Furthermore, Russia is keen to cease its dependency on dollars and bypass the sanctions imposed by the US and various European countries. 

The lawmakers of the country have been pondering upon the options lately. Some have suggested launching a state-run crypto exchange to help businesses process transactions abroad. However, the top brass has rejected this idea stating that associating with overseas deals should be left to trading firms. 

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