According to the Russian financial regulator, Russian investors are among the most active in the cryptocurrency market. The volume of transactions made by Russians in digital currencies annually amounts to approximately 350 billion rubles.
In the review of financial stability for the II-III quarters of 2021, the Russian Central Bank devoted several chapters to digital assets. According to the regulator, Russian investors annually make transactions with cryptocurrencies worth $5 billion. Russia is among the leaders in terms of the number of visits to Binance. The assessment of the volume of investments of Russians in cryptocurrencies was made based on a survey of the largest banks in Russia. The regulator sees high risks of both loss of funds by unqualified investors, and circumvention of the current legislation relating to combating money laundering and terrorist financing.
“Unpredictable fluctuations in the price of digital currencies, among other things, do not allow them to become a reliable instrument of savings. The information background has a significant impact on the rate of digital currencies. There is a correlation between the growth spikes in their value and information messages that directly affect digital currencies.”
The Russian Central Bank mentions also negative environmental impact of mining.
“The increased electricity consumption in the mining of some digital currencies, in particular bitcoin, leads to large emissions of greenhouse gases and thus negatively impacts on the climate, which is contrary to the goals of the global agenda in the field of greenhouse gas emissions reduction and sustainable development.”
The Russian Central Bank sees risks in different approaches to the regulation of digital currencies in different jurisdictions, which interferes with an effective supervision system and creates risks of regulatory arbitration.