Vladimir Putin in love-hate relationship with the cryptocurrencies

Speaking at a government meeting, Russian President Vladimir Putin warned of possible “serious risks” that accompany cryptocurrencies. Vladimir Putin would then become one of the most important personalities in talking about the cryptocurrencies.

In declarations presented by RT, Putin underlined the great growth of the cryptocurrencies and their adoption in the society:

In a number of countries, crypto-coins are becoming or have already become a complete payment method as well as a means of investment. The use of cryptocurrencies, at the same time, carries significant risks. I am aware of the position of the Central Bank (Russian).

He mentioned risks as a possibility of money laundering obtained by criminal means, avoiding taxes and financing terrorism, not to mention the dissemination of fraudulent schemes that could harm ordinary citizens.

In addition, the first deputy governor of the Central Bank of Russia, Sergei Shvetsov, revealed that the Russian government would block access to exchanges that offer cryptocurrencies such as Bitcoin and Ether. Shvetsov explained that the blockade was necessary to protect retail investors from the volatility of the cryptocurrencies:

“We think that for our citizens and for companies, the use of these cryptocurrencies as object of investment carries risks excessively high”

The first deputy governor of the Central Bank of Russia, Olga Skorobogatova, in turn, commented that the authority is working on a framework that will take the cryptocurrencies as Bitcoin as “digital merchandise”.

Cryptocurrencies are currently issued by an unlimited circle of anonymous entities, and therefore it is possible that their buyers participate in illegal activities, is something that worries the Russian governor and also commented:

“In the case of a system failure or inflation of” bubbles “, as they say now, there will be no legally responsible entity available, a very serious thing that we must take into account,” Putin said.

At the same time, the Russian president believes that the circulation of cryptocurrencies in Russia should be adopted because the country needs to take advantage of the new technological solutions in the banking sector. At the same time, he added that new barriers should not be created, but create the necessary conditions for the development and optimization of the national financial system.

Putin’s comments did not mention any ban on crypto-coins or ICO’s, a new form of fund-raising driven by the world of cryptocurrencies. Putin called on Russia’s central bank to create a regulatory framework for the adoption and use of cryptocurrencies with “legal guarantees to work with innovative financial instruments.” Putin commented:

“Building on international experience, we must build a regulatory environment to systematize relations in this area and protect, of course, the interests of our citizens, businesses and the State, provide legal guarantees to work with innovative financial instruments, regulate the circulation of Cryptomonedas, begin to create the necessary legislative conditions and the regulatory regulatory framework “

Putin, as one of the most important personalities, but the most, in talking about the world of cryptocurrencies seems to be that it opts for a regulation and not for a clear prohibition, in order to protect the state, companies, and citizens.

Now, Russian Minister of Communications and Mass Communications, Nikolai Nikiforov said that the cryptocurrencies “CryptoRubble” will be developed and launched as soon as possible by the Russian state. No details have been given on the technical nature of the CryptoRubble, Nikiforov just clarified that the cryptocurrency would not be minable.

Nikolai Nikiforov also provided other clues about the adoption of cryptocurrencies in different governments:

Due to the immense confidence, I declare that we will launch the CryptoRubble for a simple reason: if we do not, our neighbors of the Economic Community of Euro-Asia will do it in 2 months.

CryptoRubbles can be redeemed for traditional rubles at any time, but if the holder can not explain where the CryptoRubbles comes from, a 13 percent tax will be imposed. The same tax will apply to any difference earned between the price of the token purchase and the sale price. This tax will also apply to any appreciation in value, although it is not clear how or how it will be linked to the fiduciary currency. Even so, the details are not closed and 100% confirmed. Nikiforov added:

It is most likely to be a closed model with a certain volume of regulated emissions

The creation of its own cryptocurrency should not be interpreted as an endorsement nor an effort to legalize the decentralized cryptocurrencies like the Bitcoin, added the minister.

At the beginning we saw how Russia started talking a year ago of a Russian cryptocurrency project, Olga Skorobogatov, vice president of the Russian central bank, spoke of a “hybrid network” of public and private Blockchain protocols. And just a week ago the first deputy governor of the central bank of Russia revealed the intention of the authority to block all the websites of exchange of cryptocurrencies or stock exchanges that included them and that offer cryptocurrencies like Bitcoin. Putin also spoke of the “serious risks” with the cryptocurrencies, while acknowledging its growth and potential because it has already become a complete payment medium worldwide.

The contradiction in the Russian government with respect to the cryptocurrencies was and still is something real, but of what it is no doubt is of the first official criptomoneda controlled by a government, one of the most powerful governments of the world.