Russian Central Bank Seeks Ban on Crypto Investment: Report

The central bank is looking at a complete ban on future crypto investments in the country.

Dec 16, 2021 at 1:21 p.m. UTC
Updated Dec 20, 2021 at 9:36 p.m. UTC

The Russian central bank is looking to ban cryptocurrency investments in the country, according to a Reuters report.

  • The central bank is in discussions with market players regarding a possible ban. If approved by lawmakers, the ban would only apply to new purchases of crypto assets not to past purchases, the report added.
  • Russia has been vocal in its stance against against cryptocurrencies, stating that the asset can be used for money laundering or to finance terrorism.
  • Bank of Russia’s current position is a “complete rejection” of all cryptocurrencies, the report says, citing a source close to the bank.
  • The central bank issued new rules for the country’s mutual funds in a directive published on Monday.
  • This latest change means funds cannot invest in digital currencies or in “financial instruments, the value of which depends on the prices of digital currencies.”
  • Bank of Russia is working on a ruble-backed central bank digital currency (CBDC).
  • The Russian regulator planned to launch a central bank digital currency (CBDC) pilot program in December, but the deadline has recently been moved to “early 2022″ which is when the digital ruble will be in a pilot program before making a decision if it should be launched in production.

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Tanzeel Akhtar is a CoinDesk news reporter based in the UK.