It seems like the word ‘decentralization’ has lost all meaning when it comes to studying the cryptocurrency operating, its handling, and dealing in selected regions. China and Russia are among those regions that can’t bear the thought of letting cryptocurrencies run freely and operate without a tight centralized (state-inflicted) insight. Only recently, Russian President Putin has issued a statement in which he seeks to build a system that will be able to verify the official crypto holding of every Russian citizen.
This will help the state analyze the overall dominance of the cryptocurrencies within the region, what should be their next scheme in relation to building their own centralized token, and most importantly, to have a glimpse into the volume of crypto being traded by Russian citizens.
Russia does not Want Anonymity of Cryptocurrencies
The parties that will be involved in this oversight are the Bank of Russia, the Ministry of Labor, and the Ministry of Finance. According to the reports, this whole operation is based on the National Anti-corruption plan duly signed and initiated by the President for 2021-2024. Whether they have any crypto at hand or not, every Russian citizen will have to declare their affiliation with it according to this new system in place.
The meddling of the crypto exchanges in people’s affairs in the form of KYC (know your customers) and AML (anti-money laundering) practices is one thing, but now state doing the same is a whole other topic. This gives a strong opinion to the fact that the state doesn’t want to see crypto space prosper and is doing everything it can to stop it from going mainstream. Another opinion that can be drawn from all this is that Russia wants to bring out its own version of the crypto token that will be centralized and can be vigilantly controlled by the state.
All the involved parties have been informed to come up with a proposal that targets two specific items of the project, to verify the accuracy of the information provided by the citizens and the completion of information regarding the ownership of the digital assets in a given time frame.