Posted by Russia vs crypto. Russia’s central bank wants to ban cryptocurrency in all its forms and uses. The blanket ban would include transactions as well as mining crypto. Even though Russia is the world’s third-largest crypto miner by volume, the central bank says crypto is a speculative asset, a “pyramid scheme” that undermines regulators and threatens Russia’s climate policies because mining is very energy-intensive.
The proposal comes as the EU is making its own bid to get rid of crypto mining, also citing environmental concerns. Last summer, crypto markets fell but rose again after a similar ban by China sparked a global sell-off.
Now, and despite the increased mainstreaming of crypto assets, Bitcoin prices have slumped in recent days due to the Russian proposal and fears that US regulators may soon act on crypto. Still, Moscow isn’t exactly done framing its digital monetary policy: the Russians might permit using gold-backed “stablecoins” and some crypto mining activities under government control.
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