The Crypto-Ruble

Russia’s Crypto-Ruble Just Changed the Game

by Tom Luongo

… The goal with Russian official crypto-policy is to stamp out the illegal activities … while simultaneously using the technology to modernize Russia’s internal capital handling capabilities. …

By taxing crypto-rubles at the capital gains rate for those that cannot provide a paper-trail of ownership, Russia and Putin are incentivizing the development of low-cost crypto-payment systems to exchange rubles for goods only in cryptocurrencies that also track ownership, like Ethereum and others that have transparent blockchain histories. … Russia wants legitimate businesses to operate in Russia in whatever currency they like as long as that business is transparent.

… Putin is openly inviting investment capital into Russia that is legal and above board.  Russia wants legitimate businesses to operate in Russia in whatever currency they like as long as that business is transparent. …

By calling Bitcoin as a Ponzi scheme and an avenue for money laundering Putin and the Bank of Russia are (also) ‘talking their book.’ Putin would prefer people use platforms that are Russian.  Remember, he’s also a nationalist trying to bring Russia prestige in this important market going forward.

Ethereum and WAVES are both platforms designed by and built for Russia. So, you’ll notice that Putin has never spoken out against (them). WAVES is what will back the Moscow Exchange’s move to trade cryptocurrencies and their derivatives.  It will act at the gateway for all of the currency exchanges.  So, if you have dollars, Bitcoins, rubles or Ethereum you can buy and sell stocks on the Moscow Exchange eventually. …

The scheme for the crypto-ruble (enables dollar holders to invest in Russia). Moves like this are made in response to aggressive moves made by the U.S. to starve his country of capital, i.e. John McCain’s sanctions.

He and his team understand that providing a platform by which capital can enter Russia that is barred through normal means now is key to surviving the next couple of years.  It’s not his responsibility to monitor what U.S. investors do, only that they comply with Russian law.

If Russia continues to develop blockchain technology and embrace it in a relatively tax-free way, it won’t matter that it is ‘regulating’ the beautiful decentralized market of cryptos. What will matter is that Russia treats its crypto-investors better than everyone else.  In the fight for global capital flows, you don’t have to be perfect, you just have to be slightly better than everyone else. …


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About icliks

Biding my time in central ms ... yours too, if ur reading this.
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