Russia becomes world?s second country to ban bitcoin

Users say they plan to ignore the ban on the bitcoin while experts try to balance the virtual currency?s benefits and drawbacks

The Central Bank of Russia has issued an official warning stating that all bitcoin transactions will be considered potentially suspicious, and added that use of the bitcoin in Russia is illegal, reported Russia Beyond The Headlines, an English-language resource on Russia?s economy, politics, and social life. The currency is already banned in China, and the Financial Supervisory Authority of Denmark has also issues a statement warning against its use. ?Overall, the Central Bank?s position is justified. They?re trying to protect the financial system. The main complaint regarding the bitcoin is that there is no backing from any central monetary authority, and the currency is underpinned only by user confidence that it enables purchases. The danger to the financial system is that the bitcoin can be impaired,? said Maxim Petronevich, chief expert at Gazprombank?s Center for Economic Forecasting. Still, the use of the bitcoin raises many questions. The ability to use the currency anonymously has already resulted in several scandals involving fraud and the sale of illegal goods on the Internet...