Authorities in Russia continued their policy of regulating cryptocurrencies such as Bitcoin (BTC) even after the country’s first digital asset law was passed.
Amendments to the DFA Act
According to the latest reports, the Russian Ministry of Finance has proposed a number of changes to the law “On digital financial assets”, or DFA. This law bans many cryptocurrency operations.
According local news agency Izvestia, the proposed changes provide for a “general ban on all operations with virtual money for individuals and individual entrepreneurs”. The exceptions are three scenarios. Apparently, the ministry wants to prohibit all transactions except the acquisition of property through inheritance, bankruptcy and execution.
The amendments are reportedly intended to prohibit miners from receiving payment for mining cryptocurrencies.
“Self mining of cryptocurrencies is legal, but it loses its financial value as the payment is usually processed in Bitcoin and Ethereum.”
– informs Izvestia.
The latest news introduces even more confusion in the current legal situation in Russia. After Russia finally adopted the DFA bill in July 2020, local authorities said the regulation would be included in another law, known as “On the Digital Currency”, the DA. The DA Act is expected to enter into force at the end of 2020. Meanwhile, the DFA law is to be adopted in January 2021, banning cryptocurrency payments in Russia.
Cryptocurrencies in Russia
In late August 2020, the Russian telecommunications regulator Roskomnadzor blocked the country’s largest cryptocurrency-related website – BestChange.ru. This site aggregates data from around 400 local cryptocurrency exchanges. The platform was reportedly supposed to disseminate information about buying or selling products using cryptocurrencies such as Bitcoin. BestChange says it has never shared any information about such services.
In mid-August, we learned that the Russian Federal Financial Monitoring Service plans to build a new analytical platform to track cryptocurrencies such as Dash and Monero.
Expobank, a commercial bank in Russia, issued the country’s first secured loan cryptocurrency. According to a report by the local news agency Kommersant, Expobank granted a loan by issuing an individual token-powered bank loan Waves.