Russian Central Bank Admits It Can’t Ban Bitcoin

[Abiky]

Slowly government's that are against the use of bitcoin will start using it. As a beginning we've seen statement from the Russian government. Previously there were more governments that imposed ban on bitcoin with punishment and penalties to be paid to the government. Even by that time people from those countries keep on using it. The technology growth always has got a set of people supportive to it as well as people standing against its usage. Later after hard analysis they realise the good in it. Same has been taking place with bitcoin right now.

Agree. It's only a matter of time before all the world's governments start adopting Bitcoin for their own benefit. Some say that countries penalized by US sanctions are using Bitcoin as a safe-haven asset. It's not to my surprise, since Bitcoin's decentralized and open source nature brings many benefits with it. With a lack of middleman, you and only you have complete control of your money. The limited supply and maximum security unlike any other Blockchain in existence, makes Bitcoin very similar to Gold. Eventually, all countries of the world will accept Bitcoin as legal tender. Russia's central bank has recognized Bitcoin's resiliency, so it should only be a matter of time before the Russian government establishes a friendly regulatory environment for the fruitful growth of Bitcoin and crypto in the region.

Many governments are planning to launch their own CBDCs, as they've noticed Bitcoin's success in the mainstream world. My guess is that Russia's digital version of the Ruble (in a form of a CBDC) will live alongside Bitcoin for years to come. Russian citizens will have the choice between Bitcoin or the digital Ruble for mainstream transactions. There will be a clash between the centralized and decentralized world as we speak. As long as Bitcoin maintains decentralization above anything else, there should be nothing to worry about. Just my thoughts

[Argoo]

The Director of the Bank of Russia’s legal department has admitted that Bitcoin and other cryptocurrencies cannot realistically ever be banned in the country.

Although cryptocurrencies are not exactly legal in Russia, it seems like they won’t ever be banned, either. That’s the latest news from the Russian government. Although Russia has a love hate relationship with crypto and bitcoin, what do you think about this admission? I think personally no bank can control it, but they don't admit it.

What do you think about this? If you want to read the full article, you can click on the link below

https://beincrypto.com/russian-central-bank-admits-it-cant-ban-bitcoin/

It is precisely in Russia that they are quite capable of prohibiting the cryptocurrency circulation, regardless of whether they can actually implement such a decision or not. There, already in the first reading, the State Duma approved a bill on the virtually complete prohibition of the cryptocurrency circulation for ordinary citizens, so it is quite possible that this bill may soon enter into force. Russia can now be considered a police state, with regard to its people there they rely on brute force. Therefore, using the example of Russia, it is possible to experiment whether the state can really control the process of prohibiting the circulation of cryptocurrency.

[iv4n]

Snip

It is precisely in Russia that they are quite capable of prohibiting the cryptocurrency circulation, regardless of whether they can actually implement such a decision or not. There, already in the first reading, the State Duma approved a bill on the virtually complete prohibition of the cryptocurrency circulation for ordinary citizens, so it is quite possible that this bill may soon enter into force. Russia can now be considered a police state, with regard to its people there they rely on brute force. Therefore, using the example of Russia, it is possible to experiment whether the state can really control the process of prohibiting the circulation of cryptocurrency.

They can try it, but I don't think that anyone can ban crypto. Maybe we can try to think off some scenarios that theoretically could lead to banning and destroying crypto, but I think it's less likely that can really happe. Network is widely spread, you have nodes everywhere, and people will find a way to use it. And banning anything is always a sword with two sharp edges, banning and prohibiting can lead people to want it more, and if that happens due more risk involved it can lead to the price rise, just look what happens with other goods that were free to use and now they are banned.

[Pamadar]

Yes crypto is more good in this time especially this pandemic they cant use paper money because physical contact is prohibited,

Crypto can be used as alternatives while this pandemic is really hurting the country, physical interactions are being
prohibited and the cash system also prone of spreading the virus, there's a need of digital money where crypto
can cater and be used to help transacting.

so we need crypto now, and also it is good in long term investment, they can't ban them because I think now, their citizen is already on it.

Though there are many other forms of digital money but if the people are already using this form of crypto money the
government needs to adopt and start to allow it instead of banning
it will help the people, most of those who are into this business dealing
with crypto investments.

[TheGreatPython]

The Director of the Bank of Russia’s legal department has admitted that Bitcoin and other cryptocurrencies cannot realistically ever be banned in the country.

Although cryptocurrencies are not exactly legal in Russia, it seems like they won’t ever be banned, either. That’s the latest news from the Russian government. Although Russia has a love hate relationship with crypto and bitcoin, what do you think about this admission? I think personally no bank can control it, but they don't admit it.

What do you think about this? If you want to read the full article, you can click on the link below

https://beincrypto.com/russian-central-bank-admits-it-cant-ban-bitcoin/

I do know that, you can’t really ban Bitcoin. It’s just like talking about regulating cryptocurrency; cryptocurrency cannot be regulated, except through exchanges.

If your cryptocurrency is not on an exchange, then the government cannot regulate or have any control over it. And the exchanges that I am referring to are the ones that are Centralized, because these are the ones that are being controlled by the government, so whatever you’re doing with them they will giving info to the government. So cryptocurrency cannot be banned, even if it’s banned, people will still be using it secretly.

[Shasha80]

The government or the bank realizes that Bitcoin is very popular and it is difficult to prevent its citizens from owning Bitcoin.
Even if they do get banned to Bitcoin, I'm sure Russian peoples will still be able to have Bitcoin. Because there are many ways
in the internet to overcome the ban on Bitcoin. I am sure the Russian government is aware that Bitcoin can help its citizens
make money, which means indirectly helping the Russian economy. Therefore, finally realized that it was they can't ban Bitcoin.

[Ozero]

The government or the bank realizes that Bitcoin is very popular and it is difficult to prevent its citizens from owning Bitcoin.
Even if they do get banned to Bitcoin, I'm sure Russian peoples will still be able to have Bitcoin. Because there are many ways
in the internet to overcome the ban on Bitcoin. I am sure the Russian government is aware that Bitcoin can help its citizens
make money, which means indirectly helping the Russian economy. Therefore, finally realized that it was they can't ban Bitcoin.

What are you talking about. In Russia, the State Duma has already adopted in the first reading a bill that completely prohibits citizens from using cryptocurrency. Moreover, they want to establish criminal liability for the use of cryptocurrency. Do you know why now in Russia they are not protesting against such a decision? Because any protester ends up in jail. Russia is now not a state where they worry about their citizens or are guided by a common logic. If there is a strict ban on cryptocurrency, the police, which are vested with great powers there, will monitor its implementation. How many citizens will risk their freedom? Well, using the example of Russia, we can really see whether the state is able to control its ban on cryptocurrency.

[Emmychris]

It's obvious that bitcoin has become very successful and has helped many and it's still growing, the Russian government must have seen the importance of Bitcoin so there can't afford to ban Bitcoin, Even if there ban Bitcoin in Russia, thier citizen will still have access to own bitcoin.

[Debonaire217]

They might have the power to influence to avoid the use of cryptocurrency especially bitcoin for their reason, but banning bitcoin to be used by their locals is quite impossible to happen. As we know, Russia is one of the leading country in terms of technological innovations, there are tons of people there that are good in computers, so no matter what IP restrictions they do, bitcoin can still be used, because in the first place, there's no way they can alter the bitcoin network and the blockchain.

But the question is, why does the government really wants people to stop using crypto? I hope soon they will realize the importance of it especially as a unifying currency from all over the world.

[Abiky]

I do know that, you can’t really ban Bitcoin. It’s just like talking about regulating cryptocurrency; cryptocurrency cannot be regulated, except through exchanges.

If your cryptocurrency is not on an exchange, then the government cannot regulate or have any control over it. And the exchanges that I am referring to are the ones that are Centralized, because these are the ones that are being controlled by the government, so whatever you’re doing with them they will giving info to the government. So cryptocurrency cannot be banned, even if it’s banned, people will still be using it secretly.

Exactly. We all know it's practically impossible to take down over the entire Bitcoin network due to its distributed and decentralized design. The only way governments are able to enforce regulations is through centralized exchanges. Imagine if people started using decentralized exchanges on top of centralized ones? It'll be a complete nightmare for governments worldwide as their efforts to restrict the usage and trading of Bitcoin becomes in vain.

Russia has finally realized that Bitcoin is truly unstoppable, and it may only be a matter of time before other countries follow. I've seen countries that were unfriendly towards crypto and Blockchain technology, only to change their stance at a later time. India, is a good example of a country that once restricted the use of Bitcoin and other cryptocurrencies. Turns out that the Indian government realized its efforts were in vain, leaving them with no choice but to accept Bitcoin and altcoins as legal tender. I believe that all the countries of the world will do the same as long as they're able to tax them. Even if Bitcoin is declared "illegal" in the future, there's nothing stopping anyone from getting access to the Blockchain. In this scenario, transactions and trades will be performed "under the table" and outside the scope of governments and other third parties. It'll be like an underground decentralized economy empowered by everyday people like you and me. But this is very unlikely to happen anytime soon, since governments have realized the true benefits of supporting Bitcoin in every way. Ultimately, Russia will collect taxes from Bitcoin users, resulting in a win-win situation for both the Ruble and BTC. Just my thoughts

[Traderbtcc]

I think they love and hate crypto at the same time they're just confused on whether to legalize it or not, and according to the news you shared, alot of people have already started using crypto in the country and they feel if this continues or if they eventually legalize it, their citizens will stop using fiat  and switch to Crypto,so in order to avoid such scenario, they are not going to legalize the use of crypto in their country anytime soon.  

[Negotiation]

You are right that the demand for Fiat currency will decrease if the Russians start introducing Bitcoin Bitcoin is more profitable than Fiat The government will suffer a lot. With Bitcoin decentralized the government will no longer be able to levy any taxes in which case banks will cease to exist and everyone will be able to use crypto-wallets Bitcoin is becoming very popular all over the world and Bitcoin is playing a helpful role in the development of the country's economy.

[ttcsalam]

It can have a devastating effect on us.Russia is an influential country Receiving in a good way is definitely good news for us.They can take it to a much better position.

[Janation]

It's obvious that bitcoin has become very successful and has helped many and it's still growing, the Russian government must have seen the importance of Bitcoin so there can't afford to ban Bitcoin, Even if there ban Bitcoin in Russia, thier citizen will still have access to own bitcoin.

Or maybe they can't ban it literally.

Bitcoin is decentralized and no one really controls it taht is why even if they ban exchanges and other platforms accepting Bitcoin, people would still access their wallets, transact to other people in another country. As you said, maybe they might look at it as a way to get more tax that their country can use for the development of it.

[Zionatin]

And at the same time, the same websites link to the Russian version where they say:

There will be no legalization

One of the most controversial issues remains the issue of legalization and circulation of cryptocurrency on the territory of the Russian Federation. According to Guznov , the position of the mega-regulator in this regard has not changed. In other words, the Central Bank of the Russian Federation is confident that cryptocurrency is actively used in money laundering and financing illegal activities, and its legalization will jeopardize financial stability and weaken consumer protection.

(google translate)

So basically they can't stop people from holding bitcoin but at the same time, there will be no way for them to make legal purchases and no way for shops to accept bitcoin payments legally.

So they can't ban it but they can make it almost useless.
What can the average Russian who doesn't know anyone outside the country and does not send money or receive from abroad do with them?
Buy coins from a western exchange, wiring money and then when it needs fiat to sell them and receive fiat again via a traceable bank transfer?

If they put a ban on purchasing and usage in the legal way  the effects would be devastating, and if the penalties include jail time, who will risk it?

It doesn't need to be "legalized" You can freely trade whatever you want for whatever else you want. If you cannot for some reason then you are living in a  communist country and should get out ASAP. We have the freedom to use whatever form of pay we feel. If I want to be paid in peacock feathers no goverment in the world will tell me otherwise. Many people would still risk using it if they included jail time (which it 100% agianst your rights and freedom as a person. May as well live in a POW camp. ) There 10000 other things to worry about before they worry about bitcoin. Ya know.... Like actual crime....

The money laundering arguement is old and dry. Criminals launder money in fiat since they earn fiat. What criminal earns crypto? Only an online scammer. I can promise you that the mob and such do not use crypto to launder money. Laundering money is when you take dirty money and clean it. Just as the name suggests. I hardly think converting fiat to crypto then fiat again is a good idea. Sounds like a greaat way to be caught if you ask me.

[TopExchanger]

Now there are more rumors about their plans to ban crypto. They can't ban Bitcoin, it's true, but trading and mining are likely to be illegal in Russia.

[gamer4156]

There are good reasons behind this. The Russian central bank is very well aware of the need for bitcoin and other currencies. A large population of Russia is involved with cryptocurrency. This could be a big reason not to ban cryptocurrency.

[Abiky]

I think they love and hate crypto at the same time they're just confused on whether to legalize it or not, and according to the news you shared, alot of people have already started using crypto in the country and they feel if this continues or if they eventually legalize it, their citizens will stop using fiat  and switch to Crypto,so in order to avoid such scenario, they are not going to legalize the use of crypto in their country anytime soon.  

Agree. Sooner or later, Russia will legalize the use of crypto. As long as the government is able to tax crypto transactions, nothing else matters. We've seen how India changed its stance from being oppressive against crypto to all the other way around. I believe the same will happen with other countries of the world that are currently skeptical about Bitcoin and Blockchain technology. The pioneer cryptocurrency has grown too big to ignore these days. It's a "force to be reckoned with". Eventually, all the countries of the world will declare Bitcoin to be legal tender. Some say that government officials use Bitcoin "under the table" to avoid sanctions. It's no wonder, since Bitcoin's decentralization protects anyone from getting their assets seized or denied access from a third party.

As long as Bitcoin retains its decentralized properties, nothing should stand in its way. Central banks will have to live alongside crypto/Blockchain tech for a very long time. The clash between the decentralized and centralized world will always be there. Now that Russia's Central Bank has admitted it can't ban Bitcoin, it should only be a matter of time before other countries start doing the same. Kudos to Satoshi Nakamoto for making this possible. Just my opinion

[Benefactor]

This is normal because you need to know the meaning and requirements of Bitcoin first. That or those who once have a good knowledge about Bitcoin will not want to ban it. There is some trouble to do this though. If the Russian government wants to legalize bitcoin, it must do so through appropriate law enforcement.

[Abiky]

This is normal because you need to know the meaning and requirements of Bitcoin first. That or those who once have a good knowledge about Bitcoin will not want to ban it. There is some trouble to do this though. If the Russian government wants to legalize bitcoin, it must do so through appropriate law enforcement.

As it's always said, "Knowledge is Power". I think governments reluctance to recognize Bitcoin as legal tender, has been because of the lack of knowledge. They believed Bitcoin was nothing more than a scam or a payment system used by criminals in the mainstream world. But now that Bitcoin's legitimate use cases have been discovered, they're becoming aware of its true benefits. Some people say that governments are using Bitcoin as a safe-haven asset against the traditional monetary system. With the US imposing sanctions to many countries, many government officials are using Bitcoin to circumvent this. Since Bitcoin is decentralized and censorship resistant, it's truly unstoppable. Now that Russia is finally recognizing Bitcoin as legal tender, it should only be a matter of time before other countries of the world do the same.

Nonetheless, it's becoming evident that Bitcoin is too hard to ignore. Either governments embrace it or be left behind in the dust. Recent Russian legislation, will treat Bitcoin as taxable property. It seems that this is the path forward for Bitcoin and other cryptocurrencies in the mainstream world. As long as countries are able to tax crypto, the industry will continue to grow at a fast pace. Russia and other countries admitting they can't ban Bitcoin, is good news to the entire crypto/Blockchain space. Just my thoughts