Russia’s central bank disputes need for national cryptocurrency

Russia’s central bank has rejected the notion that it needs to issue a national cryptocurrency, according to Russian state media.

The comments from the head of the Russian Central Bank, Elvira Nabiullina, come months after China announced it would be launching its own digital currency this November.

Nabiullina revealed that regulators were investigating the possibility of a national digital currency earlier this year, but her recent comments seem to indicate that it is no longer on the cards.

She stated that there was “no obvious reason” for its issuance before adding: “Not only for technological reasons, but also because it is [difficult] to really estimate what advantages will the national digital currency give, for example, in comparison with existing electronic non-cash payments. There are many risks, and the advantages may not be obvious enough.”

While a national digital currency seems to be off the cards for Russia, there are plans to utilise blockchain technology across the country with plans to develop a system for transparent administrative city services.

There have also been reports stating that cryptocurrency mining and investing will be more heavily taxed in the near future, according to Izvestia.

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