Central Bank of Russia announces full order of mining and cryptocurrency industry

The Central Bank of Russia has asked to strengthen the ban on cryptocurrency payments and try to impose sanctions.

In a statement released on Thursday, Russia's central bank called for a complete ban on trading and mining of national cryptocurrencies.

The report is titled “Cryptocurrency. Trends, Risks and Metrics Shows Cryptocurrencies Compared to Ponzi Scam and Calls for All Restrictions on Cryptocurrencies Across Russia. cryptocurrencies can because there are risks for financial management and can help people take money out of the national economy.

"For emerging markets, including Russia, financial security risks could be associated with more cryptocurrencies."

Financial institutions in Russia have called for a complete ban on trading in exchanges, cryptocurrency exchanges, and peer-to-peer trading. The report also calls for tougher bans on cryptocurrency payments and fines for violations.

A statement from the central bank announced the ban on cryptocurrency mining in the country, arguing that the operation only creates new products and drives demand for other cryptocurrency services such as the exchange. Crypto mining not only affects the existing green energy process, but can also affect Russia's energy supply. Here is the legal information:

"Cryptocurrency mining leads to low energy consumption, which harms the energy of housing, construction and industrial products, as well as environmental processes in the Russian Federation."

Russia has become the third largest Bitcoin (BTC) mining site since China banned cryptocurrency mining in May last year. The country's latest proposal to ban the publication of cryptocurrency mining could lead to another change in the global cryptocurrency mining landscape if action is taken.

According to Bloomberg, the Russian Federal Security Service (FSB) played a role in pushing for a legal ban and urging the city governor of Elvira Nabiurina to do the hard work. According to the report, the Securities and Exchange Commission is concerned about the rise in unscrupulous funds for protesters and the issuance of cryptocurrencies.

This report includes invitations to public hearings and the deadline for comments and suggestions from participants is March 1, 2022.

The Central Bank of Russia has been skeptical of cryptocurrencies for some time. However, what can be seen as a sign of President Vladimir Putin's interest and interest in cryptocurrencies has led some to believe that the Russian government may choose to control the economy and trade instead of restrict them.