Topic: If Russia goes full Bitcoin adoption (Read 1145 times)

Legalizing bitcoin or actually changing any law is not something that is done in a single day, it takes a long time to draw up the paperwork alone, and then you argue about it and find things that people do not like, then you fix things, goes back, and repeats it all.

So, if you ever hear "bitcoin became legal!!" in a nation, know that they have been working on it for many months, maybe over a year. If they haven't done that then it would be a weird situation to let it be a law that quickly. So, Russia will make it legal for sure, it is not going to be a "done deal in a day" type of thing, it is going to be a long time until that happens, but we will see it happen.

This is not going to be an economic booster, but this will make other countries prepared. Because, if cryptocurrency adoption is made by Russia then it is going to make war with some country. It is the only tool that atleast made some impact over Russia.

I don't believe Russia will officially go fo it. According to me, the changes will make the people who are with them get affected.

its been months had passed after this news releases yet there is nothing confirming about this adoption, maybe this is just a press release so they will have sympathy from other part of the world that consistently supporting bitcoin.
and also what they can bring to their people in adoption ? is this going to be a economy booster?

But this will also effect the friendship of other country towards crypto/bitcoin ? we knew how the world is trying to sanction Russian Government because of their War against Ukraine and if they will adopt Bitcoin then maybe other country will react depend on how the community wanted for this action.
does Russia have this stand now? have not cross news about this can you share some link about such?

The President, Vladimir Putin has signed a new law that prohibits its citizens from using crypto digital assets for all payments.
This has broken previous information about the news that has been circulating, so far it has been circulating that bitcoin will be used for all transactions, even for payments for oil and gas purchases.
This action has clearly strengthened what Russia has done with crypto before and nothing changes even becomes stronger with the Act.

News link: https://www.coindesk.com/policy/2022/07/15/vladimir-putin-bans-digital-payments-in-russia/

when in fact Russia should be in an embargo situation requiring alternative means of payment that can resolve the embargo which may in fact be difficult for the country's finances. but things can change in the way and actually Russia really needs bitcoin and they should adopt it.
we will wait for further news and we know that russia is a big crypto asset trading in it.

Like what he said it's not an easy process so yes it might still be on going up until now and we know that there is still a war. They need to prioritize that first as that is more important than btc or making it as a legal tender. In the event the adoption is done, the effects that it can provide to the investors and business operations in Russia is going to be positive but I dont think they will be immediately known as the worlds leading bitcoin mining centre.

Afaik, China was once have that title but I think china ban btc and mining activities. For now Russia is only known to be the leading provider of oil but about btc mining, that takes time.

I think efforts to legalize bitcoin are still ongoing in Russia, despite the ongoing war situation with Ukraine. If Russia later officially announces that they have adopted cryptocurrency, it will have an impact on both investors and businesses operating in Russia. Thus, once adopted, it is likely to further cement Russia's status as one of the world's leading bitcoin mining centers.

No adoption of bitcoin is out of the question. Some banks have recently introduced a fee for keeping dollars in accounts. I am not talking about the fact that it is forbidden to transfer currency (dollars and euros) within the country. So it turns out that the government forbids the use of other currencies. At this rate, they would rather criminalise the use of bitcoin than approve it.

But to since the Russian incident cryptocurrency and bitcoin as well I've been going on the only problem that is noticeable is that since the problem started cryptocurrency value continue to depreciate or reduce, underage I will say indirectly and the crisis of Russian is what is cussing the falling of cryptocurrency but I believe that us will not because of Russian is not supporting cryptocurrency again and the bank repo for their own side or their own country.

Bitcoin has been adopted by many countries, it doesn't seem to affect it, what I see there is no 1% change to Bitcoin, Russia wants to make Bitcoin adoption not a bad thing for Bitcoin in the future, here we must be able to distinguish which is a state conflict and which is a crypto conflict.

Bitcoin focuses on sellers and buyers, adoption is not a bad and good effect for Bitcoin, even though there are only 1%, Russia and US country problems, Bitcoin placement on the other hand, does not mean bad adoption of Bitcoin.

Like China who pretends to ban BTC mining but discovered that hash come from the country. Of course we don't know whether Xi himself or the CCP has Bitcoin but its possibility. What comes out of the mouth is completely different from what they do. Its possible that they didn't hack coins after all they can do it semi illegally through the exchanges they have or Putin must have bought longtime ago.

Just like doubting Peter Schiff only stack gold for his investment. Of course he owns Bitcoin but his son did it for him.

Yes that is right what you said regarding gold. That is why this is happening right now:

"G-7 Set to Ban New Russian Gold Imports in Pledge Backed by US". (https://www.bloomberg.com/news/articles/2022-06-25/us-to-join-g-7-in-ban-of-new-russian-gold-imports-to-hit-putin)

They are eagerly willing to cut off Russia from the gold market exactly because their reserves are significant. Then again I've asked myself in the past whether there is a possibility that Russia has already been sitting on loads and loads of Bitcoin. I mean they are a country that has some of the best hackers in the world. It is not like they are totally stupid and don't know how valuable and useful Bitcoin could be under certain circumstances. Do you think there is a possibility that Putin behaved as if they were against Bitcoin but at the same time stocked up tremendously over years and years? If so, they might have amassed a significant fortune, not like a couple of billion in USD but hundreds of billion. This was just some thought that came to my mind a while ago. From a strategic standpoint it wouldn't have been stupid and I am sure Russia could have easily afforded to amass a lot of Bitcoin. I just don't think that Putin didn't expect to be exposed to sanctions during the war (which he most likely planned for a loooong time). What solutions are there in the world? Bitcoin is definitely one answer.

Nope this will not happen for now because first bitcoin is new to them and for sure they will doubt to trust 100% the system because they could lose more because of its volatility. But maybe they will strengthen their own currency because this is their economic symbol but if they shift something valuable for them at the moment I think they will grab gold since this is much safer option for them.

Russia has the plan to use gold which was the original basis of both the Dollar and before it Sterling for global trade and reserve banking worldwide.    The important reason why this route is far more likely is Russia has control of a large amount of precious metals including gold so they have a bias towards this backing to currency, its also been done as recently as the last couple decades by the Swiss in their currency so remains recognized globally as valid capital.  
   Bitcoin will remain its own stateless coin imo even while some countries might find it useful and list its legitimacy for national payment, ultimately its backed by its own userbase; outside of political control its valuable as unique in that way.

I would guess that Russia doesn't want people to pay them in Dollars anyway. They prefer people to use Ruble, which means that other nations who are buying things from Russia would need to buy Ruble from them and then give it back to them in return of that thing they buy, could be gas, oil, wheat whatever. This makes the Ruble a lot more profitable.

We all know that Russia just wants to get their money more valuable, during sanctions it went to 1to140 or whatever ratio, now it is under 60, which is literally better than before the war happened which was a bit above 70. So, it is really not a problem for Russia and they do not need crypto at this point at all.

After the conflict between Russia and Ukraine happen, Russia continues to receive sanctions from western countries including stopping exports from Russia and also prohibiting the use of the dollar as a tool for international trade transactions by Russia at this time, the prohibition on the use of the dollar by the United States makes Russia look for other alternative payments for every transaction and bitcoin is one of the right solutions, indeed russia at this time has not officially legalized the use of bitcoin as an alternative payment but reportedly they are currently drafting a law that will legalize bitcoin as an official payment instrument in the country.

The unpredictable world economic situation has forced many countries to look for alternative assets that can withstand inflation, as is happening now that bitcoin has been proven to continue to increase, making many countries, including Russia, plan to legalize bitcoin.

It is "good" for crypto for sure, but that is not really a good thing because it is based on a war itself. I have to say that I would rather have crypto not accepted in both nations, even banned and illegal to even own a single satoshi in both of them, over having a war.

When you do not have crypto legal, that is a bad thing but it would be annoyance and nothing more, but when you have a war that means there are many innocent people who are killed by soldiers, how could that be even similar. Hence, the best thing here is that crypto should be getting people even better lives, and since the war is there anyway, it is better to have it accepted at least.

You can't expect the government to lose control over bitcoin users if they legalize it. Look what the government of El Salvador is doing now with its legality and it might happen in other countries if it really wants to legalize bitcoin. It is completely unreasonable to think that the government does not want to control the finances of its people especially because they also do not want bitcoin users to misuse bitcoins for illegal activities like money laundering and so on.

It's interesting why this legality issue arose when they invaded Ukraine, when previously they didn't want to legalize bitcoin. Is there any political influence?

I think if Russia really legalizes bitcoin in its country then the existence of bitcoin investors and miners in Russia can breathe a little easier. However, even though Russia legalized bitcoin, it is still under strict supervision from the Russian government authorities.