Russia has declared Bitcoin as currency non grata, banning the cryptocurrency from being used as a 'money substitute'.

"Systems for anonymous payments and cyber currencies that have gained considerable circulation—including the most well-known, Bitcoin—are money substitutes and cannot be used by individuals or legal entities," the country's Prosecutor General's Office noted in a press release. "Citizens and legal entities risk being drawn—even unintentionally—into illegal activity, including laundering of money obtained through crime, as well as financing terrorism." 

Russia is the first country to ban Bitcoin outright, but other governments have recently taken steps to stem the tide of its growth. Canada's Finance Department recently said that Bitcoin is not legal tender in the country, and China outlawed financial institutions from trading it. That list will likely grow.

[via The Verge]