The Russian Central Bank Warns Consumers to Stay Away From Bitcoin

Fintoism Russia Central Bank Bitcoin

Russian government officials are not too keen on Bitcoin. While not officially prohibited in the country, the national central bank tries to dissuade people from using it as much as possible.  

Bitcoin-related warnings issued by the central bank have had little to no impact since they were first introduced.

Central Bank Ruble

Any self-respecting central bank will stick to the currency it is responsible. In Russia, that means the ruble needs to trump –  no pun intended – every other currency in the country. It doesn’t matter if that currency only exists in digital form or not.

Keeping that in mind, it is not surprising to see the comments by the Russian central bank. It too has an opinion on Bitcoin, albeit not necessarily a bad one. They clearly state how the ruble is the only legal tender in Russia – at least until the regulatory landscape changes.

Inherent Risks of Cryptocurrency

One often heard comment among central banks is the risk factor. They all consider Bitcoin and altcoins to carry significant financial risks in many different ways. 

For the Russian central bank, they are concerned about a few different aspects. Money laundering is one topic that cannot be ignored. There is also the value fluctuations, for which Bitcoin and altcoins have become notorious over the years. 

At the same time, banks all over the world have shown they don’t mind getting their hands dirty either. Most of the crimes committed in finance are made possible thanks to banks, either the commercial kind or the central bank variety. 

Use it at One’s own Risk

Until the regulatory landscape regarding cryptocurrencies becomes clearer in Russia, the situation remains tricky.  Users can buy, hold, sell, and mine Bitcoin or alternative currencies without problems. However, that situation can change at any given time, potentially putting enthusiasts at risk. 

This uneasy situation will likely remain in place for some time to come. Conflicting messages and reports come out of this country on a regular basis. 

One day, Russia wants to confiscate cryptos, whereas the central bank monitors monetary substitutes in a positive manner one week later. It is very difficult to get any real idea of what is going on behind the scenes. 

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