Russia is now working on a bill that is related to digital currencies as a whole. The country’s State Duma Committee on State Construction is expected to discuss cryptocurrencies and other topics but according to internal sources, digital currency will not be officially recognized as a legitimate payment method.
President Vladimir Putin was quoted in the past while talking with the Russian government and central bank and declaring that a cryptocurrency assessment was necessary. This should have included all risks associated with the technology, together with if it needed to use brand new technologies in modern banking.
Because of all the directives that were offered, it is clear that at the moment Putin does not really want to have crypto payments legalized in the country. However, he does want to be ahead of the curve. Experts in the country did agree that because of the bill we might see cryptocurrencies being used for some sort of payments but only in control quantities. This could only be done through a new law, not what is discussed at the moment.
Basically, at the moment we see the authorities legalizing collecting and processing a lot of information about digital currency. Vladimir Putin is interested in learning more about cryptocurrency and its potential, while the bill does not actually address the directives of the president.
Russia is adapting to everything that is happening in the world at the moment. State Duma has a legal department that will collect information and that was officially advised to utilize concepts like token or cryptocurrency instead of digital law or digital money.
In Russia we have tokens and cryptocurrencies outside legal coverage. However, they can easily be used in order to withdraw bankruptcy funds, bribes and even paying black market salaries. Russia needs to legalize cryptocurrency. Putin and the authorities fully understand that.
President Putin’s directives and orders are on par with what is actually happening in the country. At the moment there is no official regulation and cryptocurrencies are widely used on the black market. Russia is now following other countries that are interested in making digital currency use legal, like Japan were crypto does have at least some legal status when used as payment instrument. The EU also officially recognized Bitcoin as being a currency.
It is great to see that Russia is finally addressing cryptocurrency legal status. The current situation is quite contradictory. The country is currently not recognizing Bitcoin, Ethereum and so on, but the income coming from digital currency is being taxed. Most think that digital currency has to be put into circulation but obviously, the President is taking things slowly.