Russian bank begins to fall to record low amid escalating sanctions – Bitcoin news

Russian bank begins to fall to record low amid escalating sanctions – Bitcoin news

In Russia, the chase for banks has begun because citizens are in a hurry to withdraw cash amid escalating sanctions. The Russian ruble also fell to a record low, falling by more than 30%. “About 70 people are fine. Eyewitnesses say that the money at the ATM disappears in 40 minutes. “

The Russians are in a hurry to withdraw cash as sanctions intensify

The Russian ruble fell 30% on a record low against the US dollar on Monday morning, it fell as much as 119.50 per dollar since closing on Friday, as offshore trade began in the morning during Asian hours. Russia’s largest lender, Sberbank, also has a listing on the London Stock Exchange fell 75% Monday.

The decline came after the European Commission announced on Saturday that the Western allies would impose restrictive measures on the international reserves of the Russian central bank worth 630 billion dollars. European Commission President Ursula von der Leyen said:

We will paralyze the assets of the Russian central bank. This will freeze his transactions. And that will prevent the central bank from liquidating its assets.

The United States, European allies and Canada have agreed to separate key Russian banks from SWIFT, an interbank messaging system that connects more than 11,000 banks and financial institutions in more than 200 countries and territories.

“The military conflict will last longer than Putin expected, and the reaction of the West and the global community could be more damaging than he expected,” said Alexandre Moutin, head of investment at SMBC Private Wealth, according to BBC News. added:

The banking action is already underway and will most likely intensify in the coming days.

Russia’s central bank, the Bank of Russia, had to increase the amount of money it delivers to ATMs on Friday after the demand for cash reached its highest level since March 2020.

Several people posted pictures and videos of long lines at ATMs in Russia. One Twitter user shared video “Order for Tinkoff ATM in the League shopping mall in Khimki.” He described:

About 70 people are fine. Eyewitnesses say the money at the ATM disappeared in 40 minutes.

Russia’s central bank called on citizens to calm down, saying on Sunday that it had “the necessary resources and tools to maintain financial stability and ensure the operational continuity of the financial sector.”

However, people are still standing in line to withdraw cash. A St. Petersburg resident told Reuters: “Since Thursday, everyone has been running from ATM to ATM to get cash. Some are lucky, others are not so lucky. ”

Another person waiting to withdraw cash at an ATM told Bloomberg: “I stood in line for an hour, but foreign currencies disappeared everywhere, just laundry.”

Jeffrey Halley, a senior market analyst in Asia-based Oanda, told Reuters:

Banking has already started in Russia over the weekend … and inflation will immediately jump sharply, and the Russian banking system will probably be in trouble.

Labels in this story

Bank of Russia, Central Bank, laundry, laundry, drop laundry, the laundry is falling, rubles the lowest level, the laundry is falling, Russia, russia bank run, russian bank run, Russian sanctions, Ukraine

What do you think about the situation in Russia? Let us know in the comments section below.

Russian bank begins to fall to record low amid escalating sanctions – Bitcoin news

Kevin Helms

A student of Austrian economics, Kevin discovered Bitcoin in 2011 and has been an evangelist ever since. His interests lie in bitcoin security, open-source systems, network effects and the crossroads between economics and cryptography.

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