Russian finance minister contradicts central bank: ‘Suggest banks sell cryptocurrency’

“Cryptocurrencies should be treated like gold and other assets.” In an open letter, the Russian Finance Minister suggested that the Russian government adopt a positive attitude towards cryptocurrencies, but just a short time ago, the Central Bank of Russia said that it would ban cryptocurrencies altogether, so how can the two-headed carriage run this new crypto track?

Russian Finance Minister Anton Siluanov has repositioned the Russian government’s attitude toward cryptocurrencies from a total ban to one of regulation, and has even proposed legislation to allow banks to trade in cryptocurrencies.

Contrary to the Central Bank of Russia, the Finance Minister believes that banks should become cryptocurrency exchanges and assume regulatory responsibility, thereby establishing an authentication mechanism to combat unauthorized and illegal trading platforms.

Both the finance minister and the central bank believe that illegal cryptocurrency trading should not be allowed to exist, but the means to deal with it are very different. Syrouanov pointed out that Russia has about 2 trillion rubles (about NT$740 billion) worth of cryptocurrency assets, which are already a small and negligible part of the total amount of Russian citizens’ deposits, and that legislation could turn these funds into new momentum.

In addition to cryptocurrencies, he believes that cryptocurrency mines and overseas trading platforms also need regulatory intervention, and roughly estimates that a reasonable regulatory and taxation system could help Russia increase its tax revenues by about 180 billion rubles, or about 60 billion NT, which is definitely better than the current unregulated state.

Several ministries in the Russian government have agreed that they must come up with a concrete response to cryptocurrency-related issues by the end of this year, with the Central Bank of Russia issuing an investigative report that suggests a total ban on cryptocurrency trading and mining. Russian President Vladmir Putin asked government departments to find a consensus with the Central Bank of Russia, while he also mentioned that Russia is currently in a unique position to take advantage of the global mining market.

It seems that Russia’s attitude towards cryptocurrencies could be reversed, not forgetting that after China’s crackdown on mining, Russia is now the third largest bitcoin producer in the world, with the latest data showing that 11.2% of the world’s computing power comes from within Russia, just behind the US and Kazakhstan, which has great potential for growth.