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The Governor of the Central Bank of Russia suggests banning cryptocurrency participation in domestic settlements and strengthening penalties

ChainCatcher news, according to Cryptonews, Russian Central Bank Governor Elvira Nabiullina emphasized again on April 3 during a speech at the State Duma that the use of cryptocurrencies in the domestic economy should be restricted and advocated for stricter penalties for violations of the ban. Nabiullina, a key ally of President Putin, currently leads the Central Bank of Russia's sovereign digital currency (digital ruble) project. She pointed out that while the central bank supports exploring the cross-border application of crypto assets within a specific "regulatory sandbox" framework, it firmly opposes their infiltration into the domestic monetary system and settlement activities.Since 2020, Russia has banned payments in cryptocurrencies, but current enforcement is relatively lax, and there is a lack of a clear legal framework for related transactions. Nabiullina called for increased legal accountability for the use of cryptocurrencies for payments within Russia, stating: "Our position has not changed. We cannot allow cryptocurrencies to penetrate domestic monetary circulation and domestic settlements. We suggest seeking investment opportunities in cryptocurrencies while increasing the responsibility for using cryptocurrencies in domestic settlements." Nabiullina also supports allowing "high-net-worth qualified investors" to invest in crypto assets within the "sandbox" and proposed discussing the extension of some derivative investment permissions to ordinary qualified investors. She emphasized the need to protect retail investors from the risks posed by the highly volatile crypto market.Furthermore, after Nabiullina's speech, Anatoly Aksakov, chairman of the State Duma's Financial Market Committee, pointed out that there are still differences in Moscow regarding cryptocurrency regulation. There are clear divisions within the Duma on crypto regulation, with some members supporting restrictions while others show strong interest.
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