Vladimir Putin Confirms Russia Has ‘No Business With Cryptocurrencies’

Vladimir Putin Confirms Russia is Not Interested in Developing a National Cryptocurrency

Russian President, Vladimir Putin, said and confirmed that his country is not interested in developing a national virtual currency, as it was mentioned during the last years. In the past, it was heavily discussed in the crypto community that Russia wanted to issue the so called ‘CryptoRuble.’

Good Bye CryptoRuble’s Dream

But why would Russia create a digital currency? Well, the main purpose, according to older reports, was to avoid financial sanctions imposed by western countries including the United States and the European Union (EU).

While talking with Russian Citizens, Mr. Putin stated that the country has ‘no business with cryptocurrencies’ and it will not be creating a digital version of the ruble. He was speaking during a TV program that is televised to all the country and people can ask questions about different aspects of the government or politics.

An interesting question has been asked by Artem Khokholikov, an important blogger in the country, that said:

“Will Russia have its own cryptocurrency? […] Will it be controlled by the government? […] Do you see cryptocurrency replacing our regular standard money in the near future?”

Of course, most of the virtual currencies are decentralized. But a national currency would have to be controlled by a financial authority. This is why Putin stated that it is ‘impossible to launch’ because they are not centralized.

At the same time, he compared the situation in Japan, where Bitcoin is legal, to other countries, saying that the same policy applied there would not work in other nations, including Russia.

Putin Explained About This:

“The relationship of the Central Bank of the Russian Federation to cryptocurrency [is that] it sees cryptocurrency as neither a means of payment nor a store of value. Digital currencies are not backed by anything. One should treat it cautiously, carefully.”

Additionally, he said that Russia will be following virtual currencies very closely and how they will progress all over the world. Other countries, including the United States, are also analyzing the crypto market to know whether ICOs and other digital assets should be considered currencies, commodities or securities.

Other nations such as Malta or Switzerland, have been embracing virtual currencies and blockchain technology. They have special zones for crypto-related investments and see cryptocurrencies with good eyes.