Russia and Cryptocurrency: A Complicated Relationship

There have been recent complications between the Russian community and the crypto space. However, the country has made positive moves to legalize Bitcoin and other cryptocurrencies. Minister of Industry and Trade in Russia Denis Manturov recently announced that cryptocurrencies would be legalized as a form of payment in Russia in the future. This indicates that the government and central bank may be approaching a resolution of their differences. Just before Russia deployed tens of thousands of troops into Ukraine on February 24, the finance ministry introduced legislation that contradicted the central bank’s desire for a blanket ban. Someone asked Manturov in a forum if he believed that cryptocurrencies would become legal as a form of payment. Of course, now that the government and the central bank are actively working on it, the question is how it will be regulated once it occurs. However, most people are aware that sooner or later, this will occur in some fashion. Russia desires to create its digital rouble, but the government has only recently begun to endorse private cryptocurrencies. Years ago, there was a general belief that private cryptocurrencies could be used for money laundering or to fund terrorism. Elvira Nabiullina, the head of the Central Bank, recently announced that the bank would not accept investments in cryptocurrencies, which Russians use to conduct transactions worth approximately $5 billion (€4.76 billio...