The Russian president, Vladimir Putin has instructed the government of Russia to adopt crypto regulations for the digital asset industry by July 2019. This was made known via the official website of the President of Russia, Kremlin.ru, recently.
The order to adopt cryptocurrency regulations in Russia is inclusive of 47 orders that Vladimir Putin approved recently. The orders include the order for the government to work with the State Duma, the lower house of parliamentary to ensure adoption of federal laws aimed at the development of the digital economy. It also includes determining the procedure for conducting civil law transactions in electronic form as well as regulating digital financial assets and attracting financial resources using digital technologies.
The deadline for the order is July 1, 2019, and the responsible officials are the Russian Prime Minister, Dmitry Anatolyevich Medvedev and State Duma Chairman, Vyacheslav Viktorovich Volodin.
Reason For Past Delays
Meanwhile, the latest order is similar to the call that was made by the Russian president last year. The order was for the government to set up regulations to trade Bitcoins and other cryptocurrencies, initial coin offering [ICOs] and crypto mining services by July 2018.
The Russian parliament passed the crypto regulation in its first reading in May of 2018, but all token and crypto related terms were eventually replaced with the term digital rights. Also, the definition of crypto mining was also cut out from the bill; this made the Russian crypto regulation bill, again, sent back for first reading in December of 2018.
Meanwhile, the State Duma also plans to review the cryptocurrency bills again in March as reported by Ramber, a news media outlet, recently. Oleg Nikolayev, a member of the State Duma Committee on Economic Policy, confirmed that the discussion is at its final stages of development.
Crypto Adoption In Russia
Recently, the Russian prime minister, Medvedev mentioned that there is no reason to bury cryptocurrency because of any social phenomenon and any economic institute has both the bright sides and the dark sides. Thus, there is a need for crypto regulation adoption in the country.
Also, the Russian Minister of Justice argued that the ministry does not see the need to legally define the concept of cryptocurrency since cryptocurrencies are banned as payment methods in the country.
However, for Russia to annex the dividend of the crypto industry, there is a need to emulate countries that have adopted crypto regulations such as Malta among others.