It looks like you're using an Ad Blocker.
Please white-list or disable AboveTopSecret.com in your ad-blocking tool.
Some features of ATS will be disabled while you continue to use an ad-blocker.
originally posted by: Generation9
a reply to: neo96
My fear is that all coins are dropping to 1.00 and the whole thing has been a gigantic scam.
I'm still holding all of my positions. I've made no changes in weeks and likely won't.
Russia will invest $ 10 billion in bitcoins due to US sanctions
As reported in June, amid fears of draconian Western sanctions and confiscation of assets after the poisoning of former Russian spy Sergey Skripal, or simply out of a desire to get away from the dollar, Russia eliminated almost all of its stocks of US government bonds (treasuries) in late spring and early summer. As a result, there was a serious revaluation of 10-year US Treasuries, whose profitability jumped from 2.70% in early April to 3.10% in May.
And against the background of sales of US treasuries worth almost $ 100 billion, Russia was aggressively buying gold. The Kremlin also instructed the Russian Ministry of Finance to increase purchases of the yuan. In addition, during the same period, Russia purchased a significant amount of other currencies.
...Moscow is preparing to invest in bitcoin in an attempt to circumvent US sanctions.
According to Vladislav Ginko, economist at the RANEPA Russian Presidential Academy of National Economy and Public Administration, the government is taking steps to minimize the impact of US sanctions, which are detrimental to the Russian ruble, replacing dollar reserves with the world's most popular cryptocurrency.
As noted by The Telegraph, Ginko believes that Russia's decision on dedollarization is a fundamental step to “protect its national interests.” He argues that investment in Bitcoin could be worth $ 10 billion (7.8 billion pounds); enough volume to affect bitcoin growth.
According to the Russian economist, purchases may begin as early as next month. Ginko believes that Bitcoin and the cryptocurrency industry as a whole now account for 8% of Russia's GDP.
Most surprising is the size of the redistribution proposed by Russia: the proposed plan for investing in a digital asset will allow the state to acquire almost one sixth of the bitcoins in the world. And, despite the fact that the purchase order will dramatically increase the price of Bitcoin, this will reduce the purchasing power of Russia.
In addition, any investment plans may involve the purchase of an “intermediate cryptocurrency”, which can then be exchanged for Bitcoin. A new cryptocurrency should be offered by an intermediary, such as Sberbank, and will act as a so-called utility-token.
Putin was a fan of cryptocurrency for many years, after he personally met with Vitalik Buterin, the 24-year-old Russian co-founder of the Ethereum cryptocurrency project in 2017, to discuss opportunities in this sector. He also personally met with the head of Ethereum in recent months, according to The Telegraph.
Which is why cryptos generally won't be accepted at the retail level.