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The Bank of Russia accused cryptocurrency lender DigiCash of signs of illegal activity and “aggressive debt collection.” Judging by the entry in the special register of the Central Bank, the creators of the Russian DigiCash deliberately took the name of the company of cryptography veteran David Lee Chaum, which closed in the 1990s.
The Russian service DigiCash offers clients loans in USDT stablecoins, and the client can immediately convert tokens into rubles. At the same time, the company warns that it operates outside the legal framework of the Russian Federation and does not have a license to provide financial services from the Bank of Russia. Communication with clients often takes place via instant messengers. DigiCash employees collect sensitive information about clients in order to subsequently collect the debt, the Central Bank of the Russian Federation reported.
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“Illegal immigrants do not give real addresses and phone numbers. They use only channels and groups on social networks and instant messengers for communication, so that they can immediately delete all correspondence and cover their tracks,” Alexander Shkarubo, manager of the Bank of Russia branch for the Sakhalin region, explained the inclusion of the crypto-lender in the list.
The DigiCash service first appeared in the register of companies “with identified signs of illegal activity in the financial market” in October last year. On January 19, the information was supplemented, the list of known Internet addresses of the service grew to 35.
Chaum’s DigiCash was registered in the Netherlands 37 years ago. The company was engaged in electronic transfers, making transactions anonymous thanks to cryptographic protocols developed by the creator of the service. DigiCash ceased operations in 1998.
Recently, authorities in the US state of California fined major crypto-lender Nexo for issuing loans without assessing the solvency of clients and lacking a license to operate.
