Russia To Recognize Bitcoin As Currency – What Are the Geopolitical Implications of Such a Decision?
What if Russia decided one day to denominate its oil sales in Bitcoin?
For years now, the situation in Russia regarding Bitcoin and cryptocurrencies has been completely ambiguous. This ambiguity has been the result of a great difference of opinion between people in the upper echelons of power in Russia. Some were pushing for a total ban on Bitcoin, as China did in two stages in May and September 2021. This is especially true of members of the Bank of Russia, who made this statement again in early 2022.
On the other hand, members of the government were pushing for the definition of a clear legal framework to take advantage of the opportunity that Bitcoin and cryptocurrencies represent. In the end, as always in Russia, it is Vladimir Putin who has to decide.
And it would seem that in the current situation, Vladimir Putin has been pushing for the government and the country's central bank to come to an agreement that moves in the direction of accepting Bitcoin and cryptocurrencies. The announcement that was made this week establishes that these two entities will now have to work on a law that will define Bitcoin and cryptocurrencies as foreign currencies rather than digital financial assets.
This law is expected to be launched on February 18, 2022.
Faced with possible exclusion from the global payment system SWIFT, Russia can no longer close the door on Bitcoin
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