A response that arrived from a Kremlin representative clarifies the Russian government’s negative position regarding Bitcoin.

Some nations are taking rejective positions regarding crypto. While the world celebrates that El Salvador, a tiny Central American country, became the first country in which Bitcoin is already the official currency, other nations seemed to be concerned, taking a rejective stance on the decision.

Russia is the largest country worldwide when it comes to territory. Recently, the Russian government has released an announcement highlighting its negative stance on a scenario in which BTC could receive acceptance as an official currency.

Dmitry Peskov is the official representative of Russian President Vladimir Putin. The first representative claimed that Russia could not find a reason to recognize Bitcoin as legal tender, according to the RIA Novosti news agency.

The Kremlin representative discussed that placing cryptocurrencies like Bitcoin in the same position as traditional monetary instruments would bring serious harm to the country’s financial and economic structure.

Russia is Not Ready for a Decision of this Kind, According to Peskov

These latest comments from Peskov ran in parallel with the Russian government’s long-standing skeptical stance regarding Bitcoin.

Anatoly Aksakov is currently part of the State Duma and one of the first architects of Russia’s ban on cryptocurrency payments.

The member highlighted back in August that accepting cryptocurrency as payment would essentially mean the inevitable end of the traditional financial system.

Russia had officially banned cryptocurrency payments in the whole country due to its cryptocurrency law. The ban took effect in January 2021. The law does not prohibit Russians from acquiring or trading cryptocurrencies like Bitcoin.

In May 2021, a report arrived highlighting that some Russian lawmakers were talking about a partial repeal of the ban on crypto payments.

The Putin Government Forced Officials to Report on the Crypto they Possess

At least 77% of Russians prefer to invest in Bitcoin than trying other methods like gold or forex. At the same time, both the government and the country’s central bank keep maintaining a rigid stance on cryptocurrencies.

Elvira Nabiullina, the Governor of the Bank of Russia, highlighted in June some thoughts about cryptocurrencies. She described cryptocurrencies as one dangerous investment tool that currently exists.

In addition, the government is currently working on a legislative amendment that allows the confiscation of cryptocurrencies.

But on the other hand, the Russian central bank is currently focusing its efforts on developing the new digital ruble.

The governor said that prices in the cryptocurrency market tend to be volatile. He also stated that the losses due to this sudden volatility might be monumental.

The governor also emphasized that the Bank of Russia does not recommend investments in cryptocurrencies to the public. Russia remains cautious about the development and use of digital currencies as legal tender.

By: Jenson Nuñez


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