Russian Minister Says Cryptocurrency to Be Legalized as Form of Payment - ‘Sooner or Later'
Russia To Legalize Cryptocurrency As Form Of Payment, Minister Says.
Industry and Trade Minister Denis Manturov stated on Thursday that Russia will “sooner or later” legalize cryptocurrencies as a form of payment.
Russia recently enacted a new cryptocurrency law that, although falling short of the previous cryptocurrency prohibition, nonetheless maintains rigorous limits on the usage of cryptocurrencies.
Russia will begin to recognize cryptocurrency as a legal payment method. The minister says it is for reasons of
Russia recently enacted a new cryptocurrency law that maintains rigorous limits on the usage of cryptocurrencies as a form of currency.
The finance ministry submitted legislative recommendations that contrasted with the central bank's demand for a blanket prohibition just days before Russia moved tens of thousands of troops into Ukraine on February 24.
Today Russia's Industry and Trade Minister Denis Manturov stated that some time in the future, Russia will legalize cryptocurrencies as a form of payment. It is possible that the government and central bank are coming closer to a resolution on this issue.
Russia has announced plans to launch a central bank digital currency, but discouraged the use of private cryptocurrencies until recently.
According to Manturov, the government and central bank are working on cryptocurrency legislation.
The governor of the Russian central bank recently stated that they cannot tolerate cryptocurrency investments or mining, which account for around $5 billion in annual Russian transactions, and has urged that they be banned.
The administration and the central bank are getting closer to an agreement. The finance ministry law that preceding Russia's invasion of Ukraine was incompatible with a comprehensive prohibition from the central bank.
Crypto Soon to be Legal in Russia
At a forum, Manturov was asked why cryptocurrencies aren't already legal.
The question is how the regulation of crypto will be handled, as the government and the central bank are both working on it.
“However, the general consensus is that… sooner or later, this will be implemented in some form,” the Russian official explained.
Russia has given its banks permission to start operating digital currency exchanges and has begun issuing new digital currencies. This, however, will be done under the watchful eye of Russia's central bank.
This is a more practical approach to cryptocurrency acceptance in Russia.
Moscow wants to develop its own digital rouble, but it's only lately warmed up to the idea after years of warnings that private cryptocurrencies may be used to launder money or fund terrorists.