Bitcoin’s fate indecisive in Russia

Owing to the potential of bitcoin and blockchain technology to disrupt traditional banking system, different countries have taken different stance on the matter.

Russian Internet watchdog Roskomnadzor directed ISPs to block Bitcoin websites, including Bitcoin.org, hasbitcoin.ru and BTCSec.com. This kind of censorship is not uncommon for the country as it has blocked websites like Wikipedia and even Reddit.

Russia maintains that the only legal currency in the country is the one issued by the government and central banks. Therefore, any other currency, virtual, digital, or otherwise, does not fall under the ambit of legal tender in the country. Consequently, Bitcoin, a digital currency, is also illegal.

However, a regional court located in Yekaterinburg announced in May this year that bitcoin websites would no longer be banned from being accessed in the country. Despite this court's ruling, there hasn't been any significant change in Russian government's stance towards the digital currency .

Banning of bitcoin websites clearly shows that Russian government is not yet ready to embrace bitcoin. They remain wary of this digital revolution that has the potential to disturb its financial ecosystem. With more and more countries recognising the benefits of bitcoin and blockchain technology, it is only a matter of time before Russia opens up completely to the world of cryptocurrency.