Putin considered issuing a “junk ruble” as a way of avoiding Western sanctions

nStorming comment: Russian President Vladimir Putin reportedly has appointed Russian officials to develop the country’s cryptocurrency, the “crypto ruble.” However, it is unclear whether the encrypted currency will be issued by the Russian Central Bank. However, Putin’s economic adviser Sergei Glazev also said at a government meeting that encrypted currency will become a useful tool for the country in avoiding Western economic sanctions.n
nTranslation: Clovern
It is reported that Russian President Vladimir Putin has appointed Russian officials to develop a national cryptocurrency known as “Crypto-Ruble.”n
According to the Financial Times, Putin’s economic adviser Sergei Glazev said at a government meeting that encrypted currency would be “a useful tool” for avoiding Western economic sanctions.n
Glazev explains:n
n”This kind of instrument is suitable for our sensitive activities on behalf of our country and we can settle our account with our worldwide counterparties without any sanctions being considered.”n
nThe adviser pointed out that the encrypted ruble would be the same as the ruble, but its circulation would “be somewhat limited” and allow the Kremlin to track its movements.n
However, it is unclear whether such cryptocurrencies will be issued by the Russian Central Bank.n
Earlier, the president had ordered cabinet officials to create a framework for establishing and managing digital currency in Russia, and just last summer met with founder Ethereum Vitalik Buterin.n
In October 2017, Putin further promulgated new rules for cryptocurrencies, including miners registration and the application of the securities law to the first digital token issuance (ICO).n
Russian Finance Minister Anton Siluanov announced in September 2017 that the Ministry of Finance will monitor the use of cryptocurrencies by the end of 2017. He also said there is no need to “ban money encryption” because they are “real.”n

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