The trending news in the crypto market recently is that Russia is preparing to prepare a bill to legalize bitcoin and cryptocurrencies this month.
The Russian government’s view has shifted from plans to ban cryptocurrency to its inclusion in its financial system, meaning it has taken a 180-degree turn in its crypto policy.
On Tuesday, February 8, the Russian government and the central government published a report indicating that they would soon submit a regulatory draft of cryptocurrency by February 18.
The Russian government is working on an arrangement whereby digital currencies are distributed only through banking systems or licensed intermediaries.
Any transactions outside this legal sector would be a criminal offence.
Also, there will be heavy fines for illegally accepting cryptocurrencies as a method of payment.
It is interesting that one of the main goals of Russian crypto policy is to integrate digital currencies into the country’s financial system.
The government said this would guarantee the rights of ordinary private investors while preventing digital assets from being used in financial crimes.
BREAKING: #Bitcoin to be recognized as legal currency in Russia. 🇷🇺
— Watcher.Guru (@WatcherGuru) February 9, 2022
Thus, the Russian government also seeks to maintain its control over cash flows in the circle of credit institutions.
The Russian government announcement states:
The protection of the rights of citizens, as well as the division of investors into qualified and non-qualified, will be ensured by the licensing requirements of cryptocurrency platforms.
These, in turn, will be required to have financial airbags in terms of liquidity and capital adequacy.
Russia’s Eyes on the Crypto Market:
As we have indicated, the Russian Central Bank was considering a complete ban on the use of cryptocurrencies earlier.
But soon, government agencies stepped in citing some potential opportunities in this rapidly developing market.
According to local news outlet RT, Russia could raise a total of 1 trillion rubles or $13 billion by regulating and taxing cryptocurrencies.
Besides, the authorities are looking into any potential opportunities in the field of cryptocurrency mining.
Russia is currently the third largest bitcoin miner in the world after the United States and Kazakhstan.
It will be interesting to see Russia’s legal standing in relation to cryptocurrencies with more details coming this month which we will cover here on the Bitcoin Arab website.
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