Russia Joins the List of Countries Regulating Cryptocurrencies

For the first time, Russia sets out to define and regulate digital financial assets (DFA’s). The state of Duma has laid out plans and a bill that will address and breakdown the regulation of cryptocurrencies in the country. The notable difference between today and previous acknowledgments of digital currencies is a definitive category and definition of these assets.

According to their reading of the bill, a cryptocurrency is now recognisable as any electronic data point that has the capability of finalising payments and investment methods. As this technology and market continues to stand separately from traditional systems, blockchain ecosystems will be considered separate entities from any regulated financial unit of the Russian Federation or a foreign state.

While these developments are taking place in Russia, cryptocurrencies remain an invalid means for purchasing any goods and services. While Russain laws declares DFA’s as digital financial obligations, in their capacity to transfer securities or claim rights under securities, crypto coins are yet

It is worth noting that the digital currency cannot be used for the payment of any goods and services at the same time. The law states that cryptocurrencies, or DFA’s are digital obligations. According to their bill, these have the capacity to manage the execution of rights under securities and to claim transfer of securities.  

You can buy and sell cryptocurrency on the relevant blockchain ecosystem. These networks and their developers must comply to all Russian laws and must register themselves with the Bank of Russia. The Central Bank will be the regulatory body for verifying the protocol functions and movement of digital assets that will be continuously accessed and monitored by a selection of eligible shareholders only. This law will enable cryptocurrency trading.

Leave a Reply