This article is from 1prime.ru and the original article can he read here
MOSCOW, April 6 – PRIME. The legalization of the circulation of cryptocurrencies can create conditions for a large-scale growth of citizens’ investments in a highly speculative instrument, which is actually a financial pyramid, according to the response of the First Deputy Chairman of the Central Bank Ksenia Yudaeva to the proposals of the State Duma deputy from United Russia Anton Gorelkin.
Bitcoin is noticeably cheaper
“We believe that the legalization of the circulation of cryptocurrencies can create conditions for a large-scale growth of citizens’ investments in a highly speculative instrument, which is actually a financial pyramid,” the document at the disposal of RIA Novosti says.
At the same time, it is noted that the significant prevalence of fraud in cryptocurrency trading can lead to the loss of a significant part of the savings by citizens.
“In addition, cryptocurrencies are actively used in illegal activities (money laundering, drug trafficking, financing of terrorism and others), which creates a challenge for the global system of combating money laundering and terrorist financing,” the regulator stressed.
The Central Bank gave such an answer to a number of points of a package of proposals for regulating the cryptocurrency market in the Russian Federation, compiled by Gorelkin following the results of the March round table, of which he was the moderator, on this topic at the site of the United Russia party.
In particular, the participants of the round table propose to provide tax incentives and government support measures to infrastructure projects and hardware and software manufacturers, to ensure the possibility of free conversion of cryptocurrencies into rubles, and to introduce a preferential taxation regime for cryptocurrencies.
However, as specified in the response to the deputy, the Bank of Russia does not support the admission of private digital currencies to the financial market of the Russian Federation and their use as a means of payment, since this can lead to “the formation of a number of significant risks for the welfare of citizens, the stability of the financial system and the economic security of the country” .
The Central Bank opened a public discussion on the regulation of the crypto market in Russia – in January, the regulator published a report in which it proposed to legally ban the circulation and mining of cryptocurrencies in the country, while not completely limiting their ownership.
Then the Ministry of Finance opposed this approach and proposed to legalize the market. In early February, the Cabinet of Ministers approved the relevant concept and instructed to develop a bill. Then, on February 18, the ministry submitted to the government a bill on the regulation of cryptocurrencies, which, in particular, proposes to maintain the ban on their use as a means of payment in Russia, introduce the identification and online testing of investors in such assets, and consolidate the definition of digital mining.
At the same time, the Central Bank did not give in and prepared its own package of bills, in which it again called for a ban on the issuance and circulation of cryptocurrency in the country.