In a TV show promoted by a local media outlet, featured the Russian President, Vladimir Putin expressing support to virtual currencies and blockchain technology. According to him, Russia should be a leader in this field and keep innovating with these technologies.
Vladimir Putin Supports Cryptocurrencies and Blockchain
During the time he was talking, Mr. Putin commented that there is no national currency planned to introduce at this point. This is quite surprising because in the past, Russia was planning a national cryptocurrency known as the CryptoRuble.
At the same time, he mentioned that it is important for Russia to keep up with the rest of the world trying to closely follow the latest trends in the technological filed. But he put the focus in global finance trade.
Venezuela has created its own cryptocurrency known as the Petro, which was supposed to work as a new method to avoid financial sanctions. Countries like the United States, Argentina or the European Union have been imposing sanctions to Maduro’s regime which caused the government to lose international financial support. With the Petro, the was possible to gather important funds and is able to trade with different allies to pay for food and other goods or services.
Putin is mentioning exactly this point. With a virtual currency it is possible to keep the trading flow going with the countries that would accept these cryptocurrencies. Iran, for example, was also evaluating the possibility to create a virtual currency to avoid sanctions and reduce dependency on the US dollar.
During the conversation Mr. Putin explained that cryptocurrencies are not considered legal tender in Russia, because regulations are not ready yet. Additionally, the Russian president said that his government is analysing how to better regulate the market, including mining activities.
Russia has been embracing digital currencies as well as blockchain technology. For example, the city of Moscow has been using the Ethereum’s blockchain to power the voting platform active citizen where individuals can vote for better city proposals. Moreover, in Vladivostok, there are two cryptocurrency-related agencies.