Mohith Agadi
Even if there has been favorable news lately with regards to cryptocurrency, the Governor of Russia’s central bank, is reported to be thoroughly speaking against any regulation that would make cryptocurrency a valid financial instrument.
Elvira Nabiullina who is serving presently as the governor of Bank of Russia, and who has also served as a financial advisor to president Putin, clearly emphasized that she would look down on any policy that would try to give cryptocurrency the same value as a foreign currency, or another monetary asset. However she failed to explain clearly what kind of thing she might support finally.
She stated that “we are categorically opposed to introducing cryptocurrencies in regulation as a monetary asset, an asset used to pay for goods and services, are against equating it with foreign currencies because… there is foreign currency, there are states that produce it, there are economies and central banks that are behind it”.
Bloomberg reports that, the deputy governor of the bank of Russia that is Dmitry Skobelkin too frowned upon the idea, after he had a meeting with the Chinese representatives.
However, it should be noted that although the central bank of Russia are in control of monetary policy, it’s not in control of the domestic financial policy.
He said that the views of Russia are also similar to the views of China when it comes to the matter. As Chinese government is against cryptocurrencies and other ICO’s, Russia will also look down upon it equally. The main reason they don’t accept the cryptocurrency is because they think it has higher amount of risk in it, as it’s collapsible at any moment.
These are surprising comments coming from higher chairs in Russia when all three parties are bringing forward measures to make the incoming technological trend favorable.
Recently a higher official representing the national legislature of Russia stated that this matter would be over and done by this fall. So if cryptocurrency is to be allowed, a new definition for the cryptocurrency could be put under the state law by the end of this year.
Photo Credit: cbr.ru
Damodar Kalyan
