Vladimir Putin: crypto is outside national borders

[vc_row][vc_column][vc_paragraph text=”Russian president shared his view on the technologies that stand behind digital assets such as Bitcoin and explained that neither Russia nor any other country can launch its own cryptocurrency.“][/vc_column][/vc_row][vc_row][vc_column][vc_heading title=”Countries are unable to implement their own cryptocurrency” size=”medium”][/vc_column][/vc_row][vc_row][vc_column][vc_paragraph text=”According to the official version of Wikipedia that is regularly being updated for displaying the legal status of crypto in different countries, digital assets “are not illegal” as at November, 2016 according to Federal Tax Service of Russia. But all internet crypto market resources are currently blocked, and the court orders say that Bitcoin represents a surrogate of money that is banned on the territory of Russian Federation.”][/vc_column][/vc_row][vc_row][vc_column][vc_paragraph text=”Our regulatory framework for crypto industry is in the process of developing, and it will touch mainly real cryptocurencies, both decentralized and those issued by private parties.”][/vc_column][/vc_row][vc_row][vc_column][vc_paragraph text=”Governmental cryptocurrencies are quite another matter because they are actually not true cryptos but the digital currencies of Central banks, or CBDC. “][/vc_column][/vc_row][vc_row][vc_column][vc_paragraph text=”To that end, during one of the press-conferences Vladimir Putin claimed that Russia cannot launch its own cryptocurrency, and neither can any of the countries. Putin already expressed this view two years ago, and this time he said the same. There are two key problems on the way of the issuance of such crypto.”][/vc_column][/vc_row][vc_row][vc_column][vc_paragraph text=”The first was mentioned by the President, and it is about that true crypto cannot be issued and controlled by government as it should be global and limitless by definition. No single country can have its own national digital coin since such currencies need to work without any territorial restrictions.”][/vc_column][/vc_row][vc_row][vc_column][vc_paragraph text=”This is why it is just impossible for a true crypto to be fully supervised by one State. The point is that the term crypto technically implies only decentralized assets that are governed by protocol. “][/vc_column][/vc_row][vc_row][vc_column][vc_paragraph text=”This is why government has no possibility to issue a digital crypto under its full supervision.”][/vc_column][/vc_row][vc_row][vc_column][vc_paragraph text=”The second reason is that there is a real alternative but it fails to meet the definition of crypto. This alternative is about CBDC, the decentralized digital currencies issued by central banks.”][/vc_column][/vc_row][vc_row][vc_column][vc_paragraph text=”On one hand, they share some of the functions that are used for basic technological infrastructure that deals with real cryptos. But from the view of finance, monetary system and politics they represent something completely different.”][/vc_column][/vc_row][vc_row][vc_column][vc_paragraph text=”CBDC are just the digital versions of standard fiat currencies, not cryptocurrencies. Their concept has been a subject for discussions because of their centralization. This is another reason why Putin denies the possibility of launching such currency and considers global cryptos like Bitcoin to be much more efficient.”][/vc_column][/vc_row][vc_row][vc_column][vc_heading title=”Changpeng Zhao is excited” size=”medium”][/vc_column][/vc_row][vc_row][vc_column][vc_paragraph][/vc_column][/vc_row][vc_row][vc_column][vc_paragraph text=”Changpeng Zhao, the CEO of the largest crypto exchange Binance, has appreciated Putin’s view of this topic on his twitter.”][/vc_column][/vc_row][vc_row][vc_column][vc_paragraph text=”While most world leaders are more interested in CBDC than in global cryptos, Putin’s statements inspire and may lead to the growth of BTC prices.”][/vc_column][/vc_row][vc_row][vc_column][vc_quote title=”Wrote Zhao:” text=”“Up until now, I have met very few leaders with such level of understanding. Most of them still hope to issue a digital version that would be fully controlled. But it’s not working””][/vc_column][/vc_row][vc_row][vc_column][vc_paragraph text=”Well, we’ll see how Putin’s words will affect the market and whether Bitcoin will rise due to his statements.”][/vc_column][/vc_row]