Putin: ‘Russia Cannot Have Its Own Cryptocurrency’

Vladimir Putin has made clear his take on the sovereignty of cryptocurrencies. “Russia cannot have its own cryptocurrency inherently, just like no other [country] can have its cryptocurrency,” said the Russian head of state during an hours-long annual question-and-answer session with the Russian citizenry. “This is because when we are talking about cryptocurrency, this is what goes beyond national borders.”

Putin went on to say, “The Central Bank believes that cryptocurrencies cannot be means of payments and settlements, cannot be means of hoarding, and are not secured by anything.” He went on to express Russia’s cautious approach to cryptocurrencies.

The so-called “Direct Line” Q&A session is held every year, and several reputable organizations claim the questions posed during the Direct Line are curated beforehand. Even so, President Putin is correct that to constrain a cryptocurrency to a single nation is likely impossible, echoing regulatory concerns being explored by the G20 and European Union.   

Putin’s cryptocurrency commentary treads on statements within a landmark draft law published by the Russian Finance Ministry in late January – which Putin himself requested in October of last year – regarding regulation of the issuance, trade, and storage of cryptocurrencies. It also spells out standards for ICOs.

Speaking from the Moscow Capital Club last October, the Russian minister of communications and mass media, Nikolai Nikiforov, stated that President Putin planned to implement a Russian “cryptoruble” cryptocurrency. Moreover, Russia’s central bank and, specifically, its deputy governor, Olga Skorobogatova, have also previously elaborated upon Russian’s willingness to develop a national cryptocurrency.

As with every other form of posturing conducted at the international level, issues surrounding distributed ledger technologies and cryptocurrency are better understood by weighing and measuring nations by their actions and not their words.

Translations by Google.

Jordan Daniell is a full-time staff writer for ETHNews with a passion for techno-social developments and cultural evolution. In his spare time, he enjoys astronomy, playing the bagpipes, and exploring southern California on foot. Jordan lives in Los Angeles and holds value in Ether.

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