Russia to Create its Own 'CryptoRuble' After Denouncing Cryptocurrencies [Video]

Russia is planning to join the cryptocurrency game, as Russian President Vladimir Putin has officially stated that Russia will issue its own ‘CryptoRuble’ at a closed-door meeting in Moscow. So how will this new Russian cryptocurrency be different? Well, in a true Russian manner, it is unlikely to share the truly decentralized nature of other cryptocurrencies such as Bitcoin and Ethereum. While it does appear to be blockchain-based, according to local news sources CryptoRuble cannot be mined and will be issued, controlled and maintained only by the authorities. It can be exchanged for regular Rubles at any time. Upon exchange, CryptoRubles will reportedly require some kind of proof of origin, probably like a documented retail transaction or service rendered. The news comes after the first deputy governor of the Central Bank of Russia denounced cryptocurrencies last week, stating that "the ruble is the only transactional currency allowed in Russia as far as we are concerned." The Russian Central Bank has come down at least twice in the last month on all cryptocurrencies. Putin himself called cryptocurrencies risky business last week, saying that they were used for orchestrating illicit activities. With this, the creation of CryptoRuble could give the Russian government the ability to dictate its way into the world of the cryptocurrencies. Thanks for watching, invest responsibly, and I’ll see you with more updates tomorrow.

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