Non-custodial wallets allow users to store cryptocurrencies intermediaries, reducing the risk of frozen, blocked or seized holdings. The increase in the adoption of Bitcoin suggests that people turn to it as a safe haven amid the ravages of inflation.
The Association of Russian Banks, which includes over 300 banks, has called on lawmakers to ban the use of non-custodial wallets. Local news agency Izvestia reported that those financial institutions consider the storage of cryptocurrencies outside of centralized exchanges a criminal act.
Unlike accounts on centralized exchanges, non-custodial or self-custodial wallets allow users to store cryptocurrencies without relying on a third party. That reduces the risk that the intermediary could freeze, block or seize their crypto asset holdings. Investors can be their own banks by fully controlling their coins and the private keys associated with their wallets.
However, Anatoly Kozlachkov, the vice president of the Association of Banks of Russia, says Russian bankers disagree with letting citizens control their cryptocurrency holdings. That organization has developed a framework for the foreclosure of crypto assets stored in non-custodial wallets. They argue that they find it hard to seize cryptocurrencies from the wallets of debtors and criminals.
The Crypto Environment Receives Support from the Government of Miami
Francis Suárez, the Mayor of Miami, recently said that his city had received Bitcoin well, considering the increase in its adoption. He talked about a complex economic landscape in which crypto assets can play a crucial role. The official believes that blockchain technology has emerged as a solution amid the ravages of inflation.
Suárez noted the approval given by the local government to Bitcoin and the crypto world in general. He expressed that he was aware of the growth of the inflation round affecting the US economy. He referred to the possibility that citizens can use cryptocurrencies as a store of value.
He commented that his government cares about inflation points, confirming his support for the crypto environment. In addition, he highlighted that they are experiencing a generation change, meaning that citizens would become familiar with the crypto market.
In that regard, Peter Smith, a representative of Blockchain.com, stated that they are interested in the favorable regulatory framework proposed by Miami. That would allow connecting the traditional finances of the region with the features of distributed ledger technology (DLT).
Iran to Tighten Sanctions against Using Subsidized Energy In Cryptocurrency Mining
The Iranian government will increase sanctions using subsidized energy in cryptocurrency mining. The measure is a further step toward tighter regulation in the country, which has suffered from power shortages in the last few years.
The Power Generation, Distribution and Transmission company talked to the newspaper Tehran Times about that situation. They reported that the government plans to increase the penalty rates for cryptocurrency mining operators using subsidized electricity.
Mohammad Khodadadi, an official with the company, specified that using subsidized electricity for that activity is illegal. Only households and industrial, agricultural and commercial subscribers can benefit from that service.
By Alexander Salazar
