Cryptorubble – Russia announced its own Cryptocurrency

Through the voice of the Ministry of Communications and Mass Media, Nikolai Nikiforov, Rusia announced that will create its own cryptocoin which will be totally controlled by the state. It is not a secret that Vladimir Putin has interest in the crypto world and local news suggests that the cryptorubble will be available really soon.

At a closed-door meeting in Moscow, Nikolai Nikiforov stated: “I confidently declare that we run CryptoRuble for one simple reason: if we do not, then after 2 months our neighbors in the EurAsEC will.”

Nikolai Nikiforov is the youngest government minister in the history of Russia. He was involved in implementing innovative developments in the government’s communications network and the education system, helped to develop a program to introduce e-government, and was a founder of the Kazan IT Park. He is an active supporter of Russia’s domestic software development industry.

The cryptorubble will have the same value as the rubble and people will be able to change it into real rubbles, at any point. Each person holding cryptorubbles and who cannot explain the provenience of those coins will be taxed at 13% of that amount. If you will trade cryptorubbles and make a profit of it, you will be taxed at 13% of the difference between the buying price and the selling price. It is not clear yet, how the cryptorubble will be applied in the real world and what technology it will use but since the coin will be fully controlled by the state, we have reasons to have doubts.

One might take this as the government tacitly promoting and profiting from speculation and money laundering — but at the same time, it’s a realistic way to keep the marketplace from devolving into a total melee. Crypto enthusiasts are unlikely to relish the idea of the Russian administration skimming off the top of a marketplace, but for now, that seems to be the price to participate in what could be a major online economy.