What awaits bitcoin in Russia: expert opinion

While the Russian government is only planning to develop a national digital currency, cipher banks, a group of enthusiasts who are interested in developing an alternative economy, are introducing more than 800 types of crypto-fuel to the market. Vladislav Antonov, an analyst with Alpari, argues that this may cause the Central Bank to refuse to create its own cryptocurrency.

The financial strategist says:

“Most likely, the Central Bank of Russia will have to reconcile with the popularity of cryptocurrencies and, possibly, refuse to create its own. The regulator needs to control the entry and exit point of fiat data into the blockchain. The fight is pointless, you need to integrate what is in the Russian economy. In addition "Taxation in this area will increase the country's GDP and bring additional revenue to the budget. Anyone who will respond in time to the situation and will be on horseback."

It's time to make a decision on bitcoin

$ 40 billion, it is in this amount that Bitcoin's capitalization is currently estimated. This is almost half of the total capitalization of cryptocurrencies in general. The main point that prompts you to open crypto accounts is simplicity and convenience. In some countries in Africa and Asia, digital accounts are used instead of expensive banking. Now payment in bitcoins is accepted by such giants as Subway, Ebay, Amazon, Paypal, Tesla motors, Microsoft.

Some states analyze and wait, in others - legalization is in full swing. Once the Bitcoin issue is resolved, this will give the cryptocurrency an impressive upward momentum. Experts say that in just 10 years, the exchange rate will soar to $ 10,000, and this is far from the limit. The thing is that new coins come from mining, which requires powerful equipment. About 78% of the maximum amount of BTC has already been mined, which equals $ 16.397 million.

At the moment, quite a few countries have accepted bitcoin. The number of transactions is growing steadily. In April, demand provoked the legalization of cryptocurrency in Japan, that is, Bitcoin is the official means of payment in the Land of the Rising Sun. Exchange volumes with the participation of the Japanese yen increased by 45%. In May, the course could go up due to political scandals in the United States, information about early parliamentary elections in the UK and French presidential elections.

How do cryptocurrencies attract Russians?

It's all about high income, far from everyone pays attention to risks. If we turn to history, then the holders of bitcoin in 2015 increased their capital by 10 times, and the owners of ether - by 30.

Also, experts take into account the national peculiarity of Russians - gambling. No one denies the feasibility of investments, however, analysts recommend investing at the rate of 10-20% of capital.

Vladislav Antonov notes:

There is a mathematical problem, every time it gets a solution, a certain amount of coins appears. At the very beginning, the reward was 50 bitcoins, now it has decreased by 4 times. Every ten minutes, 12.5 coins are mined. At this rate, in 2020, the amount will drop to 6.25 BTC. In 2140, the last bitcoin will be mined. Miners coordinate transactions, and the growth of the currency depends on the frequency of its use. The more mutual settlements involving the currency, the higher its rate.”

ICO: to be or not to be?

“ICO is somewhat reminiscent of financial pyramids, by the way, Russians have a predisposition to them. You buy a stake in the company and get not shares, but digital tokens. They are traded on exchanges for bitcoins, ethers, dashi, etc. They collect money at the concept stage, that is, the company's product has not yet been implemented and there are no guarantees for its success.”

Artem Deev, Amarkets analyst comments:

“Unscrupulous companies talk a lot about digital currency and promise mountains of gold. The first lucky ones get interest, the popularity of the topic is growing, in the end we have the same financial pyramid. It doesn’t matter at all how people come, it’s important that only the first investors receive interest payments. Now hacker attacks on miner computers have intensified, attackers are hunting for crypto wallets. As a rule, this does not bring the desired result, since people “in the subject” care about security.”

It is worth recalling that the Bitcoin exchange rate fell in May (32.7%) and in June (32%). Due to volatility, significant losses can be incurred, but there is the opportunity to increase capital. Analysts predict that at the end of the year, the bitcoin exchange rate will reach $ 4,000. It is unlikely that the cryptocurrency will become a reserve, most likely it will expect such a status only in the virtual space.