As the value of the rouble tumbles and the risk of hyperinflation grows, the Russian central bank moved to raise its key interest rate to 20 per cent on Monday. As more Russians may now be tempted to convert their money into cryptocurrencies, Ukrainian officials have called on crypto exchanges to block Russian users and freeze assets linked to them.
Many exchanges have rebuffed the calls, others have declined to comment. Cryptocurrencies are by design a way to circumvent traditional financial institutions, and their growing success has been making Western governments nervous. Russia is already the world's third-largest Bitcoin miner. And Iran has used Bitcoin mining in the past to bypass trade embargoes. European Union officials admit that crypto mining and trading could be used to undermine sanctions on Russia, and say they are looking into it.
We are looking into this," an EU official told reporters in Brussels on Wednesday. This content is not available in your region. The market value of Bitcoin worldwide has overtaken that of the rouble, according to data from CoinMarketCap. Ukraine war: Russians wait in queues for cash as rouble plunges and hyperinflation looms Where are the Russian oligarchs? The teen who annoyed Elon Musk is now tracking their private jets.
So what about the Russian state? Could cryptocurrency blunt the impact of unprecedented sanctions? Through it all, Marketplace is here for you. We rely on your financial support to keep making that possible. Your donation today powers the independent journalism that you rely on. Skip to content. Matt Levin Mar 1, Heard on:. Listen Now. Share Now on:. With the crash of the ruble, Russians are turning to cryptocurrency. Ukraine turns to its cryptocurrency ties for aid with funding.
Your questions about cryptocurrency answered. To deter Russia, the U.
All Time High. The highest price paid for this asset since it was launched or listed. Price Change 1h. The percent change in trading volume for this asset compared to 1 hour ago. Price Change 24h. The percent change in trading volume for this asset compared to 24 hours ago.
Price Change 7d. The percent change in trading volume for this asset compared to 7 days ago. Popularity is based on the relative market cap of assets. Market Cap. Market cap is calculated by multiplying the asset"s circulating supply with its current price. Volume 24hours. Vladimir Putin is very much a law and order kinda guy.
If you watch Putin operate in the public arena he always does so with an eye towards the law. He believes strongly in the law. And cryptocurrencies, despite their obvious benefits to a Russian economy that needs the type of disintermediation cryptos offer, operate in a legal gray area that makes Putin uncomfortable.
So, the goal with Russian official crypto-policy is to stamp out the illegal activities — the money laundering, terrorism-financing, human-trafficking, etc. This is what the crypto-ruble is all about. It is a way for Russia and Russians to provide a gateway between the crypto-world and the so-called real one.
It ensures that this new form of ruble properly tracks capital flow through the Russian economy. By taxing crypto-rubles at the capital gains rate for those that cannot provide a paper-trail of ownership, Russia and Putin are incentivizing the development of low-cost crypto-payment systems to exchange rubles for goods only in cryptocurrencies that also track ownership, like Ethereum and others that have transparent blockchain histories. Putin is openly inviting investment capital into Russia that is legal and above board.
Russia wants legitimate businesses to operate in Russia in whatever currency they like as long as that business is transparent. This is in direct opposition to how the U. The I. It means that buying a cup of coffee at Starbucks in Bitcoin is taxable for both the person buying the coffee capital gains on the sale and Starbucks when they go to sell those Bitcoins, buy dollars and pay salaries, order supplies, etc.
Billions in profits actively looking for new investment opportunities without paying taxes. Bitcoin allows for transaction transparency, so does Ethereum, Litecoin and many others. By calling Bitcoin as a Ponzi scheme and an avenue for money laundering Putin and the Bank of Russia are simply attacking technologies that are not home-grown. Putin would prefer people use platforms that are Russian. They both provide a platform to act as Infrastructure as a Service IaaS for the next generation of internet-based applications.
Ethereum is a kind of operating system for Internet 3. It will act at the gateway for all of the currency exchanges. So, if you have dollars, Bitcoins, rubles or Ethereum you can buy and sell stocks on the Moscow Exchange eventually.
This is what Russian Miner Coin is all about. He just wants it to be regulated so it can ensure the public sphere is maximized. What investors need is the confidence of being able to get their money out after putting it back in. I can get paid my dividends or coupons in crypto-rubles, immediately exchange them for bitcoins or whatever currency I want to use as I see fit.
What Is CryptoRuble? The CryptoRuble is. Ruble is +0% in the last 24 hours. It has a circulating supply of $ M USD. LIVE CRYPTO PRICE CHARTS, NEWS in multiple currencies including US Dollars, Euros. Ruble (RUBLE) is a cryptocurrency. Users are able to generate RUBLE through the process of mining. Ruble has a current supply of 1,,