Sunday, March 22, 2020

Russia Will Ban the Issuance and Sale of Cryptocurrencies

From Forbes, March 21:
Blow To Bitcoin As Russia Moves To Effectively Ban Crypto
The bitcoin and cryptocurrency community is reeling from the sudden market downturn in the face of the coronavirus crisis, with bitcoin prices swinging wildly over recent days.
Earlier this month, many cheered India's decision to permit banks in the country to trade cryptocurrency—something that was expected to boost the bitcoin price though the market collapsed amid coronavirus-induced panic.

Now, as potential bitcoin buyers are weighing whether to jump back into the market, a senior Russian official has warned its delayed bill on digital assets will include a ban on issuing and selling cryptocurrencies.

"We believe there are big risks of legalizing the operations with the cryptocurrencies, from the standpoint of financial stability, money laundering prevention and consumer protection," Russia's central bank head of legal, Alexey Guznov, told Russia news agency Interfax this week in comments translated to English via Google.

"We are opposed to the fact that there are institutions that organize the release of cryptocurrency and facilitate its circulation," Guznov said, adding the coming bill "directly formulates a ban on the issue, as well as on the organization of circulation of cryptocurrency, and introduces liability for violation of this ban."...MORE