Russia’s Finance Ministry Opposes Central Bank Call for Crypto Ban - An official from the Russian Ministry of Finance has voiced opposition to the proposal to ban cryptocurrencies in the country.

    Ivan Chebeskov, a director in the Russian Ministry of Finance, advocated crypto regulation rather than ban. His support was in response to Russia’s central bank proposing an outright ban on crypto mining and trading, “We need regulation, not ban. Regulation is enough to protect the nation’s citizens”.

    According to Chebeskov, this action will make Russia lag behind the technology industry around the world. Instead, he suggested that cryptocurrencies should be regulated: “We need for blockchain technology to pave the way for future growth opportunities. The Ministry of Finance is actively participating in the formulation of legislative initiatives aimed at regulating the market”.

    The comment was made during the RBC cryptocurrency conference, which took place on January 25. Chebeskov revealed that the Russian Ministry of Finance has prepared a proposal on crypto-asset regulation and is waiting to hear the government’s position on this issue. Earlier in the week, a senior member of the Russian Parliament also expressed the opinion that Russia should allow cryptocurrency mining and the use of gold-backed stablecoins.

    The central bank’s move to ban Bitcoin mostly revolves around environmental concerns. Bitcoin is notoriously energy-intensive, and Russian miners are providing more than 10% of the computing power to the Bitcoin network. Several countries have banned Bitcoin for the same reason, with China being the best example. The country cracked down on the crypto industry last year, making mining illegal.

    Chebeskov and Russian government officials aren’t the only ones who think a ban would be a bad idea. Last week, the CEO and co-founder of the Telegram app, Pavel Durov, said that the ban on cryptocurrencies is like Russia hurting itself.

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