Russia Will Likely Ban All Cryptocurrencies – Except Its Own

The Russian government is poised to launch the world’s first national cryptocurrency, the CryptoRuble, in the next few weeks, after which it will likely ban all other cryptocurrencies, effectively establishing a state monopoly over the Russian cryptocurrency market.

According to the Express, Russian officials have indicated that once the CryptoRuble launches, the state will ban all other cryptocurrencies within its borders. This will include Bitcoin, of which Vladimir Putin has expressed severe criticism in recent months, saying that the “use of cryptocurrnecies bears serious risks,” including money laundering, tax evasion, and terrorism.

Since the CrytpoRuble will be regulated and tracked by the Russian government, it will supposedly help mitigate these risks. However, some have expressed a quiet skepticism about how effective the currency will be, or is meant to be, at curbing these activities, considering the fact that those users who cannot account for how they acquired their CryptoRubles will be fined a 13% tax, rather than suffer a more taxing punishment.

Though the Express did not cite exactly which Russian officials confirmed this news, the ban is widely believed to be a credible and likely outcome. The Russian Central Bank has stated its intention to ban cryptocurrency exchanges, and Minister Nikolay Nikiforov, who was the first official to confirm the launch of the CryptoRuble, bluntly stated that the Russian government’s launch of its own cryptocurrency does not equate to its endorsement of cryptocurrencies, in general.

Furthermore, Oleg Fomichev, the Russian Minister of Economic Development, said that the state intends to take the CryptoRuble to the international market.

Whether or not the CryptoRuble will be able to rival other popular cryptocurrencies remains to be seen, but it is clear that the Russian state has high ambitions for its newest pet project.

Read more at: Bitcoinist, Express, PYMTS.com, and RT.