Russia’s Central Bank Calls for Cryptocurrency Ban

Russia is considering a cryptocurrency ban. The country’s central bank advocates this in a paper.

In the paper Cryptocurrencies: Trends, Risks and Regulation, the bank provides insight into cryptocurrencies in Russia. For example, Russians invest about five billion dollars a year in digital currencies. The country also plays an essential role in crypto mining

The central bank warns of the associated risks. For example, reference is made to the volatility of crypto markets and the possible adverse consequences for investors.

Also, the widespread use of cryptocurrencies would hamper the Russian government’s resources to manage the Russian economy. According to the central bank for example, large-scale use of cryptocurrencies could lead to people withdrawing their savings.

The central bank also wants a ban on crypto exchanges and the issuance of cryptocurrencies on Russian soil. Finally, in the paper, the bank also points out the environmental impact of crypto mining.