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Vladimir Putin wants new cryptocurrency 'to evade international sanctions'

1
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Officials indicated that Putin had already ordered work on a new form of cryptocurrency, a decentralised system based on the blockchain. Previous local news reports indicate that the leader's decision was made as long ago as October 2017.
Source: http://www.ibtimes.co.uk/vladimir-putin-wants-new-cryptocurrency-evade-international-sanctions-1653595
What do you think about this? Could you rely on this new crypocurrency?

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Paolo Beffagnotti
23 months ago

5 answers

4

I think this is the next logical step in the global currency war. The crypto Yuan will be next, then some smaller nations to follow.

Even a centralized currency has censorship-resistant properties, so the crypto Ruble is just a censorship-resistant Ruble. Tracking is not a new problem or a downside relative to the Ruble, that's a standard feature of fiat currencies.

inb4 IMF destabilization due to crypto fiat currencies

Michael Yabut
23 months ago
do you think we could have several cryptocurrencies set up on a country level in the coming years? - Paolo 23 months ago
Yes indeed - Dr. David E. 9 months ago
and will these be successful or another Bitcoin case with high volatility? - Paolo 9 months ago
Who knows - who cares? - Dr. David E. 9 months ago
SEARCH-The The South Sea Company which was a British joint-stock company founded in 1711, - Dr. David E. 9 months ago
2

Well if you don't mind Russia tracking your spend/purchases, you could rely on it. Russia will absolutely be able to track transactions if they build it, even though they will insist they won't.

If all transactions are public like Bitcoin (and others) you can build a database of transactions and the wallet they go to. If you identify the wallet owner, that theory goes out the door about being untraceable. The US and China have been particularly good about tracking those transactions. My bet is Russia would add a twist that would take a year or so before tracking transactions could occur from the US and other countries.

James Barry
23 months ago
which could be the value of the new cryptocurrency and who will accept it? Will this be regulated in some way or not? As you said there will be a high risk to have Russia tracking every spend/purchase - Paolo 23 months ago
We need to wait and see what Russia will propose. Will it be fully Open Source? Will you be able to see every transaction and the wallet it went to like coins today? or will it be totally anonymous? Wait until they drop code and see if Russia is serious, or not. If past actions are an indicator of future actions, then no this will not be usable - James 23 months ago
I bet it could be even open source but not totally anonymous - Paolo 23 months ago
Vlad is correct; doesnt everyone? - Dr. David E. 9 months ago
Now that this has been out a while, commercial sources are already tracking every coin transaction and your ID is available for a price https://thegraph.com - James 9 months ago
Agreed; sad too - Dr. David E. 9 months ago
it against the original idea of this - Paolo 9 months ago
very unfortunate - Dr. David E. 9 months ago
1

America’s least populous state has quickly become the most friendly one to blockchains.

Although crypto-tokens challenge the frameworks of existing US financial laws and regulations, federal policymakers have shown no sign that creating new crypto-specific laws or regulations is on the near-term agenda. In the meantime, several state legislatures have begun trying their hand in an attempt to draw blockchain businesses. But no other state has been nearly as aggressive as Wyoming. It just passed three more crypto-specific bills, adding to the landmark pieces of legislation it passed in 2018.
 
Caitlin Long, a Wyoming native and former Wall Street executive turned prominent blockchain technology evangelist, has spearheaded this effort behind the scenes. According to Breaker, Long’s Wyoming mission began in 2017, when she realized to her dismay that a state law made it illegal for her to make a donation to her alma mater, the University of Wyoming, in Bitcoin. One of the first bills Long and her team of advocates shepherded through the legislature last year exempted cryptocurrencies from that law. Another one, touching on a hot button issue at the federal level, created a category of digital asset, called “utility tokens” that are exempt from the state’s financial securities laws, which govern investments like stocks and bonds.
 
One of the bills Wyoming just passed makes it easier for cryptocurrency startups to get bank accounts. Another makes it legal to turn stocks and bonds into digital tokens. And the third designates digital assets as property. It’s all meant to attract innovative businesses, and perhaps even turn Wyoming into another “Crypto Valley” (there’s already one in Switzerland). “There’s going to be an influx” of financial services companies into Wyoming, Long tells CoinDesk. Many of them might have to find it on the map first, though.

Any thoughts?

Dr. David E. M
9 months ago
Detailed. Good one. Thanks. - Maya 9 months ago
Many thanks. Thought you might enjoy it. - Dr. David E. 9 months ago
And now Coibase buys a crypto tracking company. Privacy in crypto is so 2017 https://news.bitcoin.com/coinbase-acquires-cryptocurrency-surveillance-company-neutrino/ - James 9 months ago
HA HA! Agree - totally; thanks - Dr. David E. 9 months ago
Wyoming set an interesting case. Bank can hold digital assets, virtual currencies is considered as money and a regulation is in place. The idea is to attract investors to profits from the registrations. - Paolo 9 months ago
YEP - agree; that is the goal! - Dr. David E. 9 months ago
1

I think cryptocurrency thing is not that as it used to be. Blockchain based payment is one thing but crypto is no threat.

Maya Kharkwal MA, BEd
9 months ago
Agree Maya Kharkwal MA, BEd, blockchain based payment is one thing - Paolo 9 months ago
DITTO, as well - Dr. David E. 9 months ago
0

The way Cryptocurrencies are behaving, nothing can happen in near future. Crypto is a global currency, noone can or should try to control this. Such efforts create volatility which is not good for anyone.
However, if Russia create some global blockchain network, then its a different game.

Hitesh Mathpal
9 months ago
No worry - it may HAPPEN but not likely ACCEPTED on a global exchange - Dr. David E. 9 months ago
The "game" is failing anyway - Dr. David E. 9 months ago
Or may be the definition of GLOBAL gets changed - Its Russia-China-and Associates :). Then its interesting. But very unlikely to happen. - Hitesh 9 months ago
Agree , David. - Hitesh 9 months ago
Many thanks, H - Dr. David E. 9 months ago
Agree - David and Hitesh. - Maya 9 months ago
DITTO M - Dr. David E. 9 months ago
I don't think local (e.g. Russian or Chinese cryptocurrencies can succeed, this is against the idea of crypto as it includes government control - Paolo 9 months ago
U R correct; - Dr. David E. 9 months ago
Yes, I agree - Er. P.Das 9 months ago
Good thoughts, too - Dr. David E. 9 months ago

Have some input?