“CryptoRuble.” Russia also wants to create its own crypto currency

According to information from Cointelegraph, Russian President Vladimir Putin has officially announced (as did Dubai) that he will create his own crypto currency, the CryptoRuble.

The news from Russia is apparently in conflict with the news from the past weeks. Frequently it was heard that Russia is planning an ICO ban or even a crypto currency ban. The Russian central bank had been very strict about crypto-currencies and declared that money surrogates, as crypto-currencies are, are not allowed, referring to the rouble as the legally fixed currency for Russia.

The Russian Ministry of Finance has recently made cryptocurrencies a national issue and assigned them to the country’s financial sector. Subsequently, the Russian Minister of Finance stated in a TV programme that it is necessary to focus on the topic of cryptocurrency in order to improve the country’s financial competences.

In light of this news, there are many indications that the Russian government is interested in the Blockchain technology, but only in the context of a state-controlled crypto currency.

So far, few details have been released. 

According to the official announcement, the CryptoRuble should not be dismantled. In addition, it is said to be issued exclusively by authorities and its use is to be monitored. Thus, owners who cannot prove the origin of the CryptoRuble are to pay a tax of 13%. The same tax rate is to apply to profits, i.e. the difference between the purchase and sales price.

An exchange between regular physical rubles and the CryptoRuble should be possible at any time.

Whether there will be a price fixing between physical and digital roubles has not yet been announced. However, from our point of view a price fixing seems at least likely.