Vladimir Putin Says Russia Has 'Competitive Advantages' With Crypto Mining As Central Bank Calls For Ban

Russian President Vladimir Putin’s recent statements have offered hope that the complete ban on cryptocurrencies proposed by the country's central bank will not take effect as planned.

What Happened: In a video conference with government ministers on Wednesday, Putin called for a consensus between the government and central bank regarding the future of crypto in the nation.

“As for cryptocurrencies, the central bank has its own position, it is connected with the fact that, according to the experts of the central bank, the expansion of this type of activity carries certain risks, and first of all for the citizens of the country, given the high volatility and some other components of this topic,” Putin said. 

“Although, of course, we also have certain competitive advantages here, especially in the so-called mining. I mean the surplus of electricity and the well-trained personnel available in the country,” he added.

Another report from Bloomberg, citing three people familiar with the matter, said Putin backed the government proposal to regulate and tax crypto and rejected the central bank’s proposal to ban digital assets entirely.

Russia’s Finance Ministry strongly opposed the central bank’s proposed crypto ban on the grounds that a ban would be detrimental to the nation’s technological development.

Price Action: Apex cryptocurrency Bitcoin BTC/USD was trading at $36,206 midday Thursday, down 4.04% over 24 hours.