Recently, Russia’s Economic Development head likened Bitcoin to the MMM Ponzi scheme.
Consistent with the topic of so-called untrained investors making risky moves by buying cryptocurrencies, Maksim Oreshkin during the Federation Council, was quoted by RIA Novosti for saying that the Bitcoin price was similar to that of MMM.
The MMM Ponzi scheme was started in Russia by Sergey Mavordi during the later years of the 1980s. Russian police managed to terminate the scam and in 2003 arrested Sergey. Their efforts were somehow in vain because as of 2011, the MMM Ponzi scheme reared its head once more – only this time scamming users in Africa.
The Russian Economic minister went on to say that the country could not protect the people who wanted to invest in cryptocurrencies and it was their choice and risk; stressing the fact that he was only asking for people to be cautious.
These comments keep in line with the contrasting stands that Russian powers have had on cryptocurrencies.
Russia’s Finance Minister’s deputy, Alexey Moiseev also offered that investing in Bitcoin should be limited to only those that are qualified. On the other hand, the head of the Central Bank of Russia, Elvira Nabiullina said that she is firmly opposed to allowing Bitcoin to trade on Russia’s stock board – Moscow Stock Exchange.
Meanwhile, as the predominance of China in Bitcoin mining continues to escalate, the Russian state has been increasingly trying to get Russia in on the mining rush.