In Russia, Durov’s claim that a ban on cryptocurrencies would negatively affect blockchain drew criticism

Prohibition of cryptocurrency transactions on Russian soil will not lead to the destruction of high-tech industries. This is according to a statement by Igor Lukasevich, professor in the Department of Corporate Finance and Corporate Governance at the Financial University under the Government of the Russian Federation, as REGNUM reports.

In his view, the forecasts by Telegram founder Pavel Durov that blockchain development would slow if the Bank of Russia’s plans were implemented are clearly exaggerated.

«The range of applications [blockchain] has long since gone beyond the narrow sphere of cryptocurrencies. Fintech and related technologies continue to develop actively and penetrate other areas of economic activity. Demand for them in the coming years will continue to grow», noted Igor Lukasevich.

The professor added that the scope of DLT technologies is virtually unlimited, so linking blockchain development to cryptocurrencies is unlikely to be correct.

Earlier on January 20, the Bank of Russia proposed banning the issuance, circulation and exchange of cryptocurrencies, as well as organizing similar operations within Russia. The regulator stated that these digital assets (including stablecoins) are aimed at replacing fiat money, but are used primarily for illicit activity.

Later, the regulator’s initiative was criticised by Telegram founder Pavel Durov, and experts called it «a step toward the country’s hopeless lag».

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