TL;DR Breakdown
- Russians trade $5 billion in crypto annually
- The majority of the crypto transactions were facilitated on Binance
- Bank of Russia is still against crypto
Trading digital assets have become the go-to source of making profits among most financial market investors in the market. With assets skyrocketing in price over some months now, more people are taking advantage of it. According to a recent survey carried out by the Bank of Russia, the crypto traders in the country are one of the most active across the world. In the review that was put forward by the bank, Russian traders are responsible for about $5 billion worth of crypto transactions carried out in the country.
Most crypto transactions facilitated on Binance
The report that the premier bank in the country released mentioned the big role played in the crypto market, which now boasts of a $2.8 trillion market cap. In the report, the bank said it culled its data from several reliable sources across the country, including financial institutions and analysis websites. According to the sources, crypto traders have carried out crypto transactions worth 350 rubles every year. However, one cannot ascertain if the bank considered the sharp increase in price that the leading digital asset, Bitcoin, registered.
Bitcoin is now trading at around $60,000, double the asset price when the bank said it started its study. The report also claims that crypto traders in the country are on top for facilitating crypto transactions on the popular crypto exchange, Binance. Backing this claim up, Russia sits in the number two spot behind Turkey when traffic is registered on the platform. However, it is unclear if part of the registered traffic is from traders trying to mask their locations.
Bank of Russia still opposed to crypto
The report also claims that Russia is one of the biggest contributors to Bitcoin mining across the world. A recent survey carried out in August ranks the country third in terms of hash rate contributed. Despite the Bank of Russia putting these in its report, the premier bank still has its reservations about digital assets. In a recent report, the bank outlined several risks associated with holding and trading the assets, including terrorism financing and scams.
Although the bank has not talked about a measure to protect the market, it says it will continue to note the major risks in the market. Its statement said that even though crypto relation to the financial market is limited, its threats to the global financial sector are huge. The Bank of Russia’s stance on crypto is well known, especially its Governor, Elvira Nabiullina.
In a recent report, Nabiullina positioned that governments should not encourage crypto trading. The Bank of Russia has issued out directives to banks about facilitating crypto trades while pushing the adoption of its native asset. With this, crypto exchanges across the country cannot offer trading services to users.
