Could Russian Sanctions Boost Crypto Adoption?

Could Russian Sanctions Boost Crypto Adoption?

Business Crypto news Lifestyle Technology
March 13, 2022 by Super System
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Cryptocurrencies Offer Stability in an uncertain time For a whole lot of people this is a challenging time. From the devastating effect of the virus, to Europe at war, and Russia’s economic downfall, the last couple of years have been full of major challenges. That’s not all, Inflation in the United States is at its
Russian crypto

Cryptocurrencies Offer Stability in an uncertain time

For a whole lot of people this is a challenging time. From the devastating effect of the virus, to Europe at war, and Russia’s economic downfall, the last couple of years have been full of major challenges. That’s not all, Inflation in the United States is at its worst level in 40 years, and it’s only going to get worse. Currency and stock markets are seeing various degrees of movement and volatility. The established geopolitical order’s status quo is in jeopardy. Commodities, on the other hand, are trading at all-time lows.

Then there is the crypto market; a $3 trillion industry that wants to free people from the shackles of the banking system. Cryptocurrencies are becoming a medium of exchange and they are more widely accepted with each passing day. The market was worth around $14 billion just five years ago, a fraction compared to what it is worth now.

For example, the US government is attempting to participate in the digital asset boom by attempting to regulate and create a sector that is essentially outside its control.

President Joe Biden issued an executive order on Wednesday ordering the legislators, lawmakers and government to study the various risks and advantages associated with the US having its own digital currency central bank (CBDC).

CBDCs are seen in the light as crypto since they are controlled by a central body, albeit they take inspiration and framework from cryptocurrency and essentially adopt some of the same ideology behind crypto. The White House will also look into reducing consumer crypto risks and promoting the sector’s integration, adoption, competitiveness and innovation.

Russian crypto
Russian crypto

Many feel China’s move to launch their CBDC is part of the reason the US is pulling all measures to launch its own digital currency. During the Beijing Winter Olympic Games last month, China launched its version of a CBDC, the digital yuan.

Close to 20 percent of Americans have at one time or the other taken part in trading, using, and investing in cryptocurrencies. With increase in adoption, that figure is likely to rise. “I think we may refer to 2022 as the year of the big catalyst for crypto because what governments did is actually force adoption,” Ran Neuner, host of CNBC’s Crypto Trader, said. “They put people in a position where they had no choice but to flee to the other system.”

Russia has been sanctioned by the United States and its allies as a result of Russian President Vladimir Putin’s decision to invade Ukraine. With the increasing sanctions, the Russian government is leaning towards crypto to navigate the sanctions at hand.