Cbank doubts need of Russia’s cryptocurrency due to many risks

SOCHI, Oct 10 (PRIME) -- The Russian central bank is not sure about the necessity to issue a national cryptocurrency, because its risks are many, while the advantages are vague, Chairwoman Elvira Nabiullina said on Thursday at the Finopolis forum.

“We as the Russian central bank have studied the topic and are still studying it. The need to issue such a national cryptocurrency is not obvious to us,” Nabiullina said.

“It’s not only because of technological reasons, but because of a real value, of the advantage that the national digital currency would give in comparison, for example, with the existing electronic cashless payments. There are many risks, but the upside is not clear enough.”

The country has not defined a legal status of smart contracts, cryptocurrencies, initial coin offerings, or mining yet.

Nabiullina also said that evolution of technologies in the financial industry certainly benefits consumers and business, but also brings risks, to which the sector should be ready.

“We see our purpose, our mission in creating conditions for development of financial technologies changing our world with simultaneous regulation and protection of markets from risks,” the banker said.

End