Against all odds of the news in September for bitcoin, the value of the worlds largest cap cryptocurrency is skyrocketing. With news of governments putting in place various pieces of regulation, it seems like the market on cryptocurrency could be slowing down. Russia is the most recent national government to begin blocking cryptocurrency exchanges within the countries borders.
According to recent news, the head of Russia’s central bank, Sergei Shvetsov stated that they would be attempting to block cryptocurrency exchanges. The bank is reportedly working with one of the prosecutors officers within the country to begin executing their plan. Nobody has come out with an actual date as to which it will occur, but it does seem imminent.
After the news came out on Tuesday Morning, October 10th, bitcoin dropped in value by around $600 for only a few minutes before raising back up. This is good news for the coin as speculation has had a massive affect on the price in the past.
Shvetsov stated that “we believe that for our citizens for business use of such cryptocurrency as objects for investment carries an unreasonably increased risk.” The central bank in Russia has had a strong recent history of criticizing the currency and warning investors of the high risks associated with the coin.
One Russian news outlet reported that the government in Russia has been working on legislation to be in place for cryptocurrencies and its various uses. The hopes re that the regulations would help to block any sketchy or illegitimate uses of the coin and help to regulate the otherwise unregulated industry.
If Russia goes through with blocking the cryptocurrency, it would be bad news for the country, as cryptocurrency is increasing in popularity very quickly, and in a short period of time has become incredibly useful.