Russia Sees 'No Obvious Need’ for National Cryptocurrency, Says Central Bank Chief

The head of Russia’s central bank, Elvira Nabiullina, said that the regulator doesn’t see an obvious need for the issuance of a national cryptocurrency.

According to Russian news agency TASS, Nabiullina said Russia’s central bank has been studying cryptocurrencies but doesn’t see a need for Russia to have a national one, noting it’s difficult to estimate the advantages it would bring to the table.

Speaking at the forum of innovative financial technologies in Russia, Nabiullina said:

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.

Back in June, she notably said the regulator was looking into a proposal to create a gold-backed cryptocurrency that could be used for cross-border settlements with other nations, bringing back the gold standard.

According to TASS, Nabiullina has earlier also stressed Russia’s central bank doesn’t support the legalization of cryptocurrencies as a legitimate payment method in the country, but sees potential in blockchain technology.

At the event her comments were addressed to Fan Yifei, deputy governor of the People’s Bank of China (PBoC), China’s central bank. Earlier this year it was reported China was ready to launch its own cryptocurrency, but Yifei noted the central bank will first carry out studies.

Featured image via Pixabay.

U.S. Government Issues Warning Over Nazis Using Bitcoin

Michael LaVere
  • A US House Financial Services Committee hearing on Wednesday debated the use of bitcoin and cryptocurrency.
  • Officials warned that white supremacists and domestic terror groups have already begun using bitcoin.

The United States House Financial Services Committee has issued a warning after concluding that Nazis and other domestic terrorists are using bitcoin and crypto to support their activities. 

In a hearing held Jan. 15, members of the U.S. House Financial Services Committee addressed the issue of cryptocurrency and its role in funding domestic terrorism. 

Congressman Brad Sherman of California (D) claimed that white supremacists were using bitcoin.

He said, 

If it works for Hamas, it will work for the Nazis, too.

Jared Maples, the New Jersey Office of Homeland Security and Preparedness Director, said domestic terror groups would likely increase their use of bitcoin and cryptocurrencies in the years to come. Congressional Research Service finance expert Rena Miller and Anti-Defamation League Senior Vice President George Selim supported Maples claim, predicting that the rise in popularity for bitcoin would contribute to its illicit use. 

According to the report, Selim noted that neo-Nazi “troll” Andrew Auernheimer has already received great sums of money in donated bitcoin. 

Featured Image Credit: Photo via Pixabay.com