cryptobatman

[cryptobatman]

Can Putin Explore Cryptocurrencies to Get Around Western Sanctions?

Vladimir Putin, like many others, when it comes to the complex world of cryptocurrencies, is simple: "Of course, we also have competitive advantages here, especially in pseudo-mining." After the events of this weekend, when Russia was under severe economic sanctions, the President of Russia may consider taking advantage of these benefits.

Putin released the announcement in January, days after the country’s central bank proposed a total ban on cryptocurrency trading and mining. When it comes to bitcoin, the foundation of cryptocurrency, mining is an energy-intensive process where computers authenticate new bitcoin transactions by writing them into a virtual blockchain and creating new bitcoins for them as a reward.

In its warning, the Central Bank of Russia stressed that cryptocurrency mining poses "significant risks to the economy and financial stability." A week later, Putin was less confident, noting that Russia has cryptocurrency mining advantages thanks to its vast wealth of energy and galaxy knowledge.

Putin’s skepticism about a full-fledged crypto embargo could intensify as the West puts tremendous pressure on Russia’s financial system with new sanctions. EU, US, UK, and Canada with $ 640 billion ($ 47.478 billion) in the country’s foreign exchange reserves - a financial reserve used as a reserve for emergencies.