Russian patriots ask to ban cryptocoins

Representatives of Russian business community believe that only national currencies controlled by state should exist
16 October 2017   327

Entrepreneurs association "Avanti" promotes a so-called business patriotism. On their website they state that their goal is to unite entrepreneurs in the real sector of Russian economy in order to promote the development of a free competitive market, domestic production, a fair and efficient social market system and business patriotism supporting interest of the Russian Federation.

“Avanti” suggests to legislatively establish the use of only domestic crypto-currency, a so-called cryptoruble, which has not yet been released.

In their letter to the Federation Council and the State Duma, the representatives of the organisation state that the anonymity of transactions while using foreign crypto-currency can become a source of financing shadow economy, which can lead to negative consequences for the political and economic development of the Russian Federation.

Those processes stimulate development of not only shadow economy but they are capable of generating new forms of "universal evil", such as terrorism, human and drug traffic. 
 

Rahman Yansukov
Head, Avanti

Cryptoruble became the issue under discussion after Russian president spoke about the need to create a national crypto currency, and the Minister of Communications emphasized its parameters such as:

  • it is to be created using Russian cryptography
  • it is not to be mined
  • the issue is to be regulated by the state
  • the blockchain is to be closed

It’s not the first time when entrepreneurs association "Avanti" plays upon the feeling of patriotism.

Suggested rubles
Suggested rubles

In August of 2017, the association proposed to release of a limited series of 10,000 ruble banknotes with the image of President Vladimir Putin, trying to inspire a patriotic opposition to sanctions, but this idea was never implemented.

Bank of China Filed a Patent to Scale Blockchain Systems

Bank of China has filed a patent application for a process able to scale blockchain systems  
23 February 2018   95

According to a document released by China's State Intellectual Property Office (SIPO) on February 23, the application was invented by Zhao Shuxiang and first submitted on September 28 last year.

The application states that instead of letting a new block store transactions from its previous one, a data compressing system could be used to pack transactions from multiple blocks into what the patent calls a "data block."

For example, when the system receives a request to compress transactions from block 1 to 1,000, it causes a new data block to be formed and temporarily hosted on a different storage system. Then, the system will run the packed data through a hash function with a hash value. After that, the compression system will attach labels in order to identify blocks on the blockchain.

With the use of the described method, the patent claims a reduction in the amount of the data stored in new blocks as transactions mount in a blockchain while ensuring that data from all previous transactions will still be tamper-proof and traceable.

At the moment, the patent in the review process.