U-Turn By Bitcoin Regulation In Russia Is Subjected To Review
The stance of Russia towards the Bitcoin and other digital currencies has taken a big U-turn. The finance ministry of the country has stated that they are not hurry to introduce the Bitcoins draft law and that’s why they are planning to review the draft once again.
The Deputy Finance Minister of Russia Alexei Moiseev announced that the there will not be a direct blanket ban pushed by the ministry on BTC in Russia. He further states that the review process will consist of participation of experts in the bitcoin and other cryptocurrencies.
Russia is concerned regarding the strict implications of the cryptocurrencies regulations. The ministry of finance is still worried about the role of the Bitcoins in terror financing, money laundering, and other illegal activities. They are potentially not ready to implement some law which could hamper innovation in the blockchain and cryptocurrency sector.
As per current Bitcoin draft law, the Bitcoin is not legal in the country and anyone gets involved in the exchange or transmission of the Bitcoins will be liable to prosecution. There will be an imprisonment up to 7 years if someone gets convicted under the existing draft law. A mixed response from different sectors of Russian governments has been received by the draft law.
With some new developments, the introduction of the Bitcoin’s regulation in the country has been put on hold. The new bill is expected to be a bit friendlier towards the bitcoin as the leading financial institutions of the Russia has continued to explore the blockchain technology use.