Russia soon to issue its own cryptocurrency ‘CryptoRuble’

Olga Skorobogatova Deputy Governor of Central Bank of Russia on June of 2017 said, “Regulators of all countries have come to the conclusion that it is necessary to do a national virtual currency,” she also added that each country would have to “decide the issue of a specific time and maturity independently.”

In August from an RTI report, it was suggested that Ethereum co-founder Vitalik Buterin was working to adopt the blockchain technology in Russia. At a closed door meeting Russian President Vladimir Putin has officially stated Russia will introduce its own ‘CryptoRuble’.

But CryptoRuble seems to be an attempt at utilizing the blockchain technology. CryptoRuble will be solely made by Russia and will be different from Bitcoin and Ethereum. It is also said that Rubles and CryptoRubles will be exchangeable where 1 ruble will equal 1 cryptoruble and that if anyone can’t explain the source of their CryptoRubles during an exchange, a tax of 13 percent would be levied on them.

This move by Russia has taken many by surprise as Russia seemed to be on the warpath against cryptocurrencies. But considering the wide variety of opinions regarding cryptocurrencies circling in the upper echelons of Russia’s government and administration, some would say this move is an expected outcome. However Russian minister of Communications and Mass Communications Nikolai Nikiforov has said that the creation of cryptoruble doesn’t equate endorsement of Bitcoin or other decentralized cryptocurrencies.

Though much is not known about the cryptoruble at the moment, it is expected to be launched soon and it won’t be possible to mine this currency as it will be controlled by Russian government.