Bitcoin is not expected to become legal currency in the nation anytime soon. Russia has shown a complete lack of interest in Bitcoin. Take a look at what they have to say about digital money.
Russia has no justification for recognising Bitcoin. This was highlighted by President Putin’s press secretary when El Salvador became the first nation to accept digital money as legal cash, according to the press secretary. Dmitry Peskov, the Russian president’s press secretary, made the announcement. He is certain that such a move would be detrimental to the Russian Federation and that it would be counterproductive.
Bitcoin adoption in Russia is not supported by the Kremlin.
As a result, the administration will not be following El Salvador’s lead anytime soon. And at this time, there is no compelling reason to recognise Bitcoin as legal money. The spokesman from the Kremlin characterised it as a “quasi-currency.” According to him, comparing Bitcoin with official monetary instruments would only serve to damage Russia’s financial and economic system in the long run. The importance of this was reiterated by Peskov in a discussion with reporters.
It was reported on Tuesday by the Russian news agency RIA Novosti that the remark was made at a time when the Republic of El Salvador became the first nation in the world to recognise Bitcoin (BTC) as legal currency in its territory. The implementation of El Salvador’s Bitcoin legislation took place on September 7.
The use of cryptocurrency as a legal tender
With the new “On Digital Financial Assets” legislation, Moscow has begun to regulate coins and tokens to a limited extent. Starting at the beginning of this year, the legislation will be in force. Among its provisions is the recognition of cryptocurrency as a form of property. However, it is not permitted to be used for payment.
According to current Russian legislation, the national fiat ruble continues to be the only legal currency, and the use of “money substitutes” is strictly banned in the country. Russia’s central bank, which is staunchly opposed to the adoption of decentralised digital money, is planning to introduce a prototype digital ruble by the end of 2021, despite its opposition to decentralised digital money. That’s it once again.