Russia to Issue Its Own Blockchain-Based Currency, the CryptoRuble

Megalith

24-bit/48kHz
Staff member
Joined
Aug 20, 2006
Messages
13,003
Russian President Vladimir Putin has officially stated that Russia will issue its own “CryptoRuble” at a closed-door meeting in Moscow, according to local news sources. The news broke through Minister of Communications Nikolay Nikiforov. According to the official, the state-issued cryptocurrency cannot be mined and will be issued, controlled, maintained only by the authorities.

The CryptoRubles can be exchanged for regular Rubles at any time, though if the holder is unable to explain where the CryptoRubles came from, a 13 percent tax will be levied. The same tax will be applied to any earned difference between the price of the purchase of the token and the price of the sale. While the announcement means that Russia will enter the cryptocurrency world, it is in no way an affirmation or legalization of Bitcoin or any other decentralized cryptocurrency.
 

BB Gun

[H]ard|Gawd
Joined
Jan 14, 2004
Messages
1,546
Trying to find an anagram for "cryptoRuble" and "Kasperskybackdoor" but I'm just not having any luck.
 

Wolf_Tech

Limp Gawd
Joined
Sep 19, 2010
Messages
230
It will fail because people don't like a something the government has control over. This is why Bitcoin was invented for the same reason. I see china and russia now trying to make there own crytocurrency that they can control. The problem is no one wants to use something that is controlled by them.
 

Wolf_Tech

Limp Gawd
Joined
Sep 19, 2010
Messages
230
Japan on the other hand has taken the right approach to the matter by setting up bitcoin exchanges that is regulated. It's going to be nice when I goto the 2020 olympics and be able to buy things with my bitcoin wallet on my phone instead of trying to figure out how much yen I need for a drink or meal.
 

Dayaks

[H]F Junkie
Joined
Feb 22, 2012
Messages
8,861
It will fail because people don't like a something the government has control over. This is why Bitcoin was invented for the same reason. I see china and russia now trying to make there own crytocurrency that they can control. The problem is no one wants to use something that is controlled by them.

Might as well just use a credit card then state run crypto... faster and easier.
 

cthulhuiscool

2[H]4U
Joined
Mar 15, 2006
Messages
3,002
If it's linked to the Ruble, how is it any different than fiat? Why would anyone give a crap vs just their normal bank balance?
 

Geef

Limp Gawd
Joined
Aug 5, 2009
Messages
338
I'm sure it will be used since a lot of potential users are younger and don't remember how much a ruble's worth fluctuated when the Soviet Union fell. Seriously they should have named it ANYTHING except Cryptoruble. It could be Crypto-Russia or Crypto-Nards but having the word ruble anywhere close to the name is a bad idea.
 

HockeyJon

[H]ard|Gawd
Joined
Dec 14, 2014
Messages
1,588
It will fail because people don't like a something the government has control over. This is why Bitcoin was invented for the same reason. I see china and russia now trying to make there own crytocurrency that they can control. The problem is no one wants to use something that is controlled by them.

You mean like cash?
 

H2R2P2

Limp Gawd
Joined
Jun 18, 2006
Messages
412
This makes no sense whatsoever. Goes against everything and anything that crypto-currencies are intended for. This makes it exactly the same as Fiat and current monetary systems. Nothing to see here.
 
Joined
Aug 3, 2017
Messages
794
the big banks in the EU and US are also experimenting with blockchain. Of course whatever coin they wish to issue in the future will be regulated and not anonymous. When that happens, the current coins will fork again to meet these regulatory requirements, otherwise they will see their market cap shrink due to the utility of this new coins in the open market.
 

hlfbkd420

Limp Gawd
Joined
Jun 16, 2017
Messages
280
Japan on the other hand has taken the right approach to the matter by setting up bitcoin exchanges that is regulated. It's going to be nice when I goto the 2020 olympics and be able to buy things with my bitcoin wallet on my phone instead of trying to figure out how much yen I need for a drink or meal.

and then when you come home you can pay your taxes.... Unless your from somewhere else.
 

deton8

Limp Gawd
Joined
Sep 27, 2007
Messages
454
What incentive would anyone have to use this currency over one of the pre-existing, non-government controlled ones?
 

spugm1r3

[H]ard|Gawd
Joined
Sep 28, 2012
Messages
1,153
In related news, it is revealed that Vladimir "The Blockchain Bear" Putin is Russia's foremost Cryptoruble farmer.
 

zkostik

Gawd
Joined
Sep 17, 2009
Messages
929
Russian President Vladimir Putin has officially stated that Russia will issue its own “CryptoRuble” at a closed-door meeting in Moscow, according to local news sources. The news broke through Minister of Communications Nikolay Nikiforov. According to the official, the state-issued cryptocurrency cannot be mined and will be issued, controlled, maintained only by the authorities.

The CryptoRubles can be exchanged for regular Rubles at any time, though if the holder is unable to explain where the CryptoRubles came from, a 13 percent tax will be levied. The same tax will be applied to any earned difference between the price of the purchase of the token and the price of the sale. While the announcement means that Russia will enter the cryptocurrency world, it is in no way an affirmation or legalization of Bitcoin or any other decentralized cryptocurrency.
Lol, what's even the point of this kind of crypto currency?
 
D

Deleted member 93354

Guest
It will fail because people don't like a something the government has control over. This is why Bitcoin was invented for the same reason. I see china and russia now trying to make there own crytocurrency that they can control. The problem is no one wants to use something that is controlled by them.

Doesn't matter. If the controlling government doesnt allow other fiat currencies then you are stuck.

We have covered this before.
 

serpretetsky

[H]ard|Gawd
Joined
Dec 24, 2008
Messages
1,976
I'm sure it will be used since a lot of potential users are younger and don't remember how much a ruble's worth fluctuated when the Soviet Union fell. Seriously they should have named it ANYTHING except Cryptoruble. It could be Crypto-Russia or Crypto-Nards but having the word ruble anywhere close to the name is a bad idea.
I don't understand your argument. If they should have named it ANYTHING except cryptoruble do you also think they should change their current currency (it's the ruble) ?
 

ChristianVirtual

[H]ard DCOTM x3
Joined
Feb 23, 2013
Messages
2,561
Japan on the other hand has taken the right approach to the matter by setting up bitcoin exchanges that is regulated. It's going to be nice when I goto the 2020 olympics and be able to buy things with my bitcoin wallet on my phone instead of trying to figure out how much yen I need for a drink or meal.
I think during Olympics a simple dinner will cost a little as one BTC. :bag:
 

DPI

[H]F Junkie
Joined
Apr 20, 2013
Messages
12,174
This is about as meaningful as Russia "issuing its own Russia-Internet".
 

DPI

[H]F Junkie
Joined
Apr 20, 2013
Messages
12,174
It allows Russia an easy way to offer a fairly untraceable money laundering scheme.
Actually it would be intended by Putin to be the opposite - and about as "anonymous" as a state-run VPN service.

Cryptocurrency and blockchain tech aren't inherently anonymous and untraceable; but every goofball country that believes they can start their own are banking on and would market to the common perception that cryptocurrency is safer, anonymous, untraceable.

But it'll never amount to shit for Russia, because there is only Bitcoin. And there will only ever be either Bitcoin, or a complete failure of decentralized currency. There will be no in between.

For Bitcoin has no competition in the form of any altcoin. It's only competition is the banking and payments industry.
 
Last edited:

rudy

[H]F Junkie
Joined
Apr 4, 2004
Messages
8,704
There is a lot that could be done with cryptocurrencies and they don't have to follow all the same guidelines that BTC does. And once they are implemented completely new ways of operating countries can be established that could have very profound effects. For instance taxation. Currently all countries have to abide by the one most important rule of taxation, a tax has to be reasonably enforceable. This is why we establish the types of taxes we do, sales tax is enforceable on large companies that can be audited. It is not really enforceable on a sole proprietorship. It would simply take way to many government resources to audit many of them. Property taxes are enforceable because they can take your property away if they are not paid. With a centralized cryptocurrency one could literally tax every transaction. Just exactly in the same way a credit card company takes a cut of every transaction. This could result in new forms of government revenue that are much more difficult or even impossible to find loopholes around. A very small tax of every transaction. Because the government can tax the transaction at the exact point in time the transaction takes place every time it happens they don't need to go out and enforce it. Anytime anyone wants to move money around they pay. This could result in a massive efficiency gain in a country. You can almost lay off the entire IRS. There are a ton of other major advantages. I imagine at some point some country is going to get wise and implement some form of cryptocurrency that has many of the programmed advantages that ethereum has, combines with the instant payments and basics that bitcoin pioneered while getting rid of the deflationary model and possibly building in some sort of option of biometric tagging that people can use to protect their wallets from theft.

Actually it would be intended by Putin to be the opposite - and about as "anonymous" as a state-run VPN service.

Cryptocurrency and blockchain tech aren't inherently anonymous and untraceable; but every goofball country that believes they can start their own are banking on and would market to the common perception that cryptocurrency is safer, anonymous, untraceable.

But it'll never amount to shit for Russia, because there is only Bitcoin. And there will only ever be either Bitcoin, or a complete failure of decentralized currency. There will be no in between.

For Bitcoin has no competition in the form of any altcoin. It's only competition is the banking and payments industry.

Bitcoin was the first break out cryptocurrency, and it retains its place as the best. However the problem with all other cryptocurrencies is they offered little to nothing that BTC did not so most of them amount to little more than pump and dump penny stocks. Ethereum is a different animal, it offers something unique and valuable. And it is reflected in its growth. Development of new cryptocurrencies that create real tangible benefits can result in other competitors.


Lol, what's even the point of this kind of crypto currency?

I would point you back to all the arguments for cryptocurrency and there are many. Instant payments anywhere in the world. No need to carry physical currency. Just go look at any thread where people argue for and against BTC and you can take many of the arguments there and see for yourself many advantages to a state offering a cryptocurrency.

Right now on the world scene the Chinese are currently in the lead for the digitization of currency. They have the most widespread and acceptable use of mobile phones as a payment method that ranges from ordering, to just passing a small amount of change to a bum. The USA is one of the furthest behind. A country such as Russia that embraces and backs a cryptocurrency could leapfrog ahead of China. This can create a massive efficiency advantage that results in economic growth.​
 

zkostik

Gawd
Joined
Sep 17, 2009
Messages
929
There is a lot that could be done with cryptocurrencies and they don't have to follow all the same guidelines that BTC does. And once they are implemented completely new ways of operating countries can be established that could have very profound effects. For instance taxation. Currently all countries have to abide by the one most important rule of taxation, a tax has to be reasonably enforceable. This is why we establish the types of taxes we do, sales tax is enforceable on large companies that can be audited. It is not really enforceable on a sole proprietorship. It would simply take way to many government resources to audit many of them. Property taxes are enforceable because they can take your property away if they are not paid. With a centralized cryptocurrency one could literally tax every transaction. Just exactly in the same way a credit card company takes a cut of every transaction. This could result in new forms of government revenue that are much more difficult or even impossible to find loopholes around. A very small tax of every transaction. Because the government can tax the transaction at the exact point in time the transaction takes place every time it happens they don't need to go out and enforce it. Anytime anyone wants to move money around they pay. This could result in a massive efficiency gain in a country. You can almost lay off the entire IRS. There are a ton of other major advantages. I imagine at some point some country is going to get wise and implement some form of cryptocurrency that has many of the programmed advantages that ethereum has, combines with the instant payments and basics that bitcoin pioneered while getting rid of the deflationary model and possibly building in some sort of option of biometric tagging that people can use to protect their wallets from theft.



Bitcoin was the first break out cryptocurrency, and it retains its place as the best. However the problem with all other cryptocurrencies is they offered little to nothing that BTC did not so most of them amount to little more than pump and dump penny stocks. Ethereum is a different animal, it offers something unique and valuable. And it is reflected in its growth. Development of new cryptocurrencies that create real tangible benefits can result in other competitors.




I would point you back to all the arguments for cryptocurrency and there are many. Instant payments anywhere in the world. No need to carry physical currency. Just go look at any thread where people argue for and against BTC and you can take many of the arguments there and see for yourself many advantages to a state offering a cryptocurrency.

Right now on the world scene the Chinese are currently in the lead for the digitization of currency. They have the most widespread and acceptable use of mobile phones as a payment method that ranges from ordering, to just passing a small amount of change to a bum. The USA is one of the furthest behind. A country such as Russia that embraces and backs a cryptocurrency could leapfrog ahead of China. This can create a massive efficiency advantage that results in economic growth.​

Okay, I pretty much never carry cash anyway so it's all digital already. BTC still has processing fees so not much different than credit cards, yet your funds are easier to steal. I assume with state crypto it's different but as it stands there are way more disdvantages than advantages. To me it sounds like trying to reinvent the wheel given the limitations they put on state crypto and just trying to say hey we have state run crypto currency and you don't.
 
Top