MOSCOW—Russia’s central bank wants to ban investments in cryptocurrencies in the country, saying it sees risks to financial stability in the rising number of crypto transactions, The Hindu reported, citing two financial market sources close to the bank.
The price of Bitcoin fell after the report.
“Russia has argued for years against cryptocurrencies, saying they could be used in money laundering or to finance terrorism. It eventually gave them legal status in 2020 but banned their use as a means of payment,” The Hindu explained.
The central bank is now in talks with market players and experts about a possible ban, according to the report. If approved by lawmakers, it could apply to new purchases of crypto assets but not to those bought in the past, said one of the financial market sources, who requested anonymity due to the sensitivity of the matter, the Hindu said.
“Another source close to the Bank of Russia said the central bank's current position was a ‘complete rejection’ of all cryptocurrencies,” The Hindu said.