Russia Cracks Down on Crypto, Prioritizes Ruble Dominance

Russia Cracks Down on Crypto, Prioritizes Ruble Dominance

Russia is taking a hard stance on cryptocurrencies. The country plans to implement a strict ban on the general circulation of crypto assets like Bitcoin, according to Anatoly Aksakov, Chairman of the State Duma Committee on the Financial Market. This move signifies a broader governmental effort to exert control over the crypto ecosystem within its borders, especially amidst rising geopolitical tensions.

Ruble Reigns Supreme:

• The proposed legislation aims to restrict non-Russian crypto operations and solidify the ruble's position as the dominant currency.

• Chairman Aksakov emphasizes that only digital financial assets issued by Russia and the digital ruble will be permitted within the country.

• He justifies the ban by claiming cryptocurrencies act as a "quasi-currency" threatening the ruble's position.

Carving Out Exceptions:

• Despite the ban, there will be exceptions for specific entities.

• Crypto mining operations are exempt, as they generate substantial tax revenue for Russia. According to Statista, crypto miners contribute over $2.59 billion in liquidity for foreign trade settlements.

• The Central Bank will also be allowed to conduct crypto-related test projects under an experimental legal framework.

Uncertain Future for Crypto in Russia:

This move signals a significant shift in Russia's approach to cryptocurrencies. While some activities remain authorized, the general public will face limitations on using and owning non-Russian crypto assets. The long-term impact on Russia's financial landscape and the global crypto market remains to be seen.

Crypto Whale Loses $71 Million in Sophisticated Phishing Attack

A cryptocurrency investor has fallen victim to a devious phishing scam, losing over $71 million worth of Wrapped Bitcoin (WBTC). This incident, confirmed by blockchain security firms CertiK and Cyvers, highlights the ever-present threat of cybercrime in the digital asset space.

The attack method employed was an "address poisoning" scam. Here's how it works:

• Mimicking Legitimacy: Scammers create fake wallet addresses that closely resemble real addresses previously used by the targeted victim. These "vanity addresses" might share the first and last few characters of a legitimate address, making them appear trustworthy.

• Deceptive Interaction: If the victim unknowingly interacts with a poisoned address, like attempting a transfer, their funds could be rerouted to the scammer's control.

Breaking Down the Attack:

• The unfortunate investor, likely a "whale" (crypto slang for a large holder), mistakenly sent over 1,155 WBTC – equivalent to $71 million at the time – to an address controlled by the attacker.

• Joe Green, head of CertiK's Quick Response Team, explains that the victim's high-value wallet likely interacted with a legitimate address in the past, making them susceptible to this type of targeted attack.

This incident serves as a stark reminder for all crypto investors to remain vigilant against phishing attempts. By employing caution and utilizing proper security measures, you can safeguard your digital assets and avoid becoming the next victim of a sophisticated scam.

Biden Administration suggests the US can print unlimited money

In a newly released documentary titled ‘Finding the Money’, Jared Bernstein, Chair of the Council of Economic Advisers and a prominent advisor to President Biden on economic policy, sparked controversy with his comments regarding the US government's capacity to print money.

"The US government can't go bankrupt because we can print our own money," Bernstein asserted.

His statements have reignited debates surrounding the role of Bitcoin amidst a period of extensive government spending and mounting debt.

Bernstein's remarks have faced scrutiny from experts who argue that his perspective on government debt and money printing is oversimplified and could pose potential risks.

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