Central Bank of Russia will ban cryptocurrencies

According to the representative of the Bank of Russia, the cryptocurrency legislation planned by the regulator will prohibit production and circulation of digital currencies in the country.

In an interview dated March 16, Alexey Guznov, head of the legal department of the Central Bank of Russia, said:

In the current financial system, legalization of turnoverand issuing cryptocurrencies will lead to unjustified risks. The new law will completely ban the issuance and organization of cryptocurrency activities. Persons who violate the law will be held legally liable.

Russian officials have long been unable to come toagreement regarding cryptocurrency laws. Back in 2017, Vladimir Putin instructed the government to develop a procedure for managing cryptocurrency companies.

By order of Dmitry Medvedev, the adoption of the law was postponed until November 1, 2019. However, Russia still has not begun to regulate digital assets.

Recall that on February 17 of this year, the Central Bank of RussiaPublished a new set of rules identifying suspicious transactions. Updated legislation classifies any cryptocurrency transactions as potential money laundering transactions.

According to the materials cointelegraph.com