[2018-03-07] Russia Drafts Law to Criminalize the Use of Cryptocurrencies as Mon

[nickbelski]

Russia Drafts Law to Criminalize the Use of Cryptocurrencies as Money

The Russian Ministry of Finance is drafting a law to criminalize the use of cryptocurrencies as money substitutes. The Bank of Russia and the finance ministry have previously opposed the use of cryptocurrency in this way, citing that only rubles can be used for payments of goods and services in Russia.

Money Surrogate Bill

The Russian Ministry of Finance proposed last week to “criminalize the turnover of money surrogates,” including cryptocurrencies, Interfax reported. Deputy Finance Minister Alexei Moiseev revealed during Vnesheconombank‘s conference that his ministry has “prepared a draft law on criminal liability for the turnover of money surrogates,” Business FM elaborated, adding:

"The ministry assumes serious responsibility, right up to criminal ones, for arranging schemes, issuing money substitutes and receiving them…This concerns the payments in cryptocurrency."

Moiseev further clarified that “the text of the bill on monetary surrogates is not exclusively devoted to cryptocurrencies,” noting that only the Russian ruble can be used to pay for goods and services, as declared in the Russian constitution. While “Monetary surrogates are prohibited,” the publication explained that the laws have not specified penalties for violations. “The consequences of the violation of this principle have not been reflected anywhere for many years. The Finance Ministry decided to fill this gap” the news outlet detailed.

Prohibiting the Use of Crypto as Money

Although there have been many positive developments for cryptocurrencies among Russian lawmakers this year, the Ministry of Finance and the Bank of Russia have never wavered from their stance on cryptocurrencies as money surrogates. The head of the central bank, Elvira Nabiullina, has repeatedly said that the regulator is against “cryptocurrency as private money and money surrogates,” Interfax described, adding that “under the definition of money surrogates there are also cryptocurrencies.” Moiseev expressed last week:

"There is the ruble, and everything else is a surrogate."

The finance ministry has also recently proposed “to legislatively prohibit the use of cryptocurrency as a surrogate for payments in the territory of Russia,” the news outlet wrote.

According to Moiseev, many Russian companies that accept bitcoin use services that instantly convert cryptocurrencies into rubles. Citing that these companies receive only rubles, he confirmed that “Such operations will not be closed.”

The finance ministry recently submitted the bill on digital financial assets, amid its disagreement with the central bank on “the exchange of cryptocurrency for rubles and other assets.” The Ministry of Finance was quoted emphasizing that it “must finalize the draft law, which will define the concept of ‘money surrogates’ in the legislation and establish responsibility for their use as a means of payment,” concluding that:

"This is necessary to protect the ruble as the single legal [means of] payment in Russia."

https://news.bitcoin.com/russia-drafts-law-criminalize-use-cryptocurrencies-money/

[senin]

Now this is similar to Russia. To bring to the criminal responsibility all those who dare to use the crypto currency as a method of payment for goods and services. It also harmonizes in the sense that the Supreme Court of Russia will soon ban all sites and forums in which there will be a conversation about the crypto currency. At the same time there are still news in which it says that Putin for legalization of the crypto currency. Is not it funny? To say one and do the opposite at the same time. It seems that all lies, this is the style of Putin's governance of the country. Russians, be proud that you are the strongest nation, freedom, you probably do not need.

[Documan]

Now this is similar to Russia. To bring to the criminal responsibility all those who dare to use the crypto currency as a method of payment for goods and services. It also harmonizes in the sense that the Supreme Court of Russia will soon ban all sites and forums in which there will be a conversation about the crypto currency. At the same time there are still news in which it says that Putin for legalization of the crypto currency. Is not it funny? To say one and do the opposite at the same time. It seems that all lies, this is the style of Putin's governance of the country. Russians, be proud that you are the strongest nation, freedom, you probably do not need.

I heard the Russia is going to open bitcoin cash exchange there. If the above news is true, then we cannot trade there.

[Vektrum]

I am amazed at the rigidity of the measures being taken regarding the criminalization of the use of crypto currency as a means of payment. It seems to me that administrative responsibility would be quite enough if Russia wants to prohibit the crypto currency. But why put this in prison? Why such cruelty? And this despite the fact that Putin is always represented as a kind president who is going to legalize the crypto currency.

[darkangel11]

"There is the ruble, and everything else is a surrogate."

So that means that the use of foreign currency as money on the territory of Russia is a criminal offense. I think that most of these things we are reading about supposed Russian plans is either a complete FUD or a misinterpretation by people who are translating via google and trying to understand what's going on there. Unfortunately even normal Russian citizens don't know what's going on and aren't sure of their government's plans. We should stop speculating and wait for them to actually do what they are saying.

[wonderful8]

of course there's rubles, but whether they recognize gold as money or not it doesn't matter, it has value that's all. the bitcoin is in the same category.

[Leyss]

It should be taken into account that the Ministry of Finance of Russia is not a legislative body. He will submit this draft to the State Duma for consideration. And only there will decide the fate of this bill. If Putin is for legalizing crypto currency, then this project simply kills it. It seems that in Russia there is still no single policy regarding the crypto currency. We just need to wait for what laws will be adopted there, since they are diametrically opposite in content.

[greeklogos]

Heads of Russia as president and prime minister have showen their position to crypto currencies long time ago, they sure that cryptos will not survive, but the technology of Blockchain can be very useful. Those people who have power in their hands already began their PR war against bitcoin as I see, they announce when cryptos were used for criminal activity. With that they are making people to stay away from crypto, even interest to cryptos gone down in Russia as I heard. Little by little and believe me, Russia will clear itself from crypto.

[Ozero]

Russia is becoming rather unfriendly to the crypto-currency, and this is very sad. This country, which is large in terms of territory and in terms of the number of people, practically comes out of the crypto-currency market.
Apparently, while the current leadership is in power in this country, the desire of the bulk of the population to use the crypto currency will be ignored.

[RamonBTC]

The Russians always came out a confusing news every month, that we have no clue how the outcome or what is the end game. It just like a weight in of statements to make the balance between the cryptocurrency supporters and those who are against on it. This ministry of finance is drafting a law because the financial system is threatened by it. It needs to be approved by the lawmakers before it can be implemented and that’s a long struggle we need to wait. What the result will be depends on how the country’s bitcoin community reacts and opposes it.

[Kemarit]

Russia is becoming rather unfriendly to the crypto-currency, and this is very sad. This country, which is large in terms of territory and in terms of the number of people, practically comes out of the crypto-currency market.
Apparently, while the current leadership is in power in this country, the desire of the bulk of the population to use the crypto currency will be ignored.

LOL. As I have said numerous times already, Russia will not be friendly to bitcoin or any other crypto's. Not even Vitalik's Ethereum. That's why I chuckled everytime I see articles coming from Russia saying this and that. LOL. Of course they don't f** care about the population, the leadership will not allow anything that will give power to the people. They want their people to hold on to something that will give them freedom like crypto's. And besides, just take note how the Russian authorities completely contradicts themselves. Where are the bitcoin mining farms that they are boasting last year? How about regulations? NADA. And the only victims here is the Russian crypto community and as much as they are going to petition or pressure the government, I don't think that they will just listen to them.

[1Referee]

We should stop speculating and wait for them to actually do what they are saying.

That's the whole problem, people have been waiting for years to find out what their actions against crypto will be, but aside from a few minor things, they haven't really done anything, and I very much doubt that they will actually do anything in the forthcoming years. In some cases people say that Russia is similar to China, but that aside from a few aspects, isn't the case on the wider field. In most cases, what China says, China does. People may not like China's actions, but they have made clear what their intentions are, and that's what Russia isn't doing. If you say one thing, and lack the incentive to actually enforce your own laws as government, the market will just make fun of you, and try to test and cross the edge of what is allowed and what isnt.

[senne]

There is seriously so much confusion in the case of Russia, you read this news and get worried and then you see the headline that, "Russia thinks Bitcoin as best present" and really think what they are going to do.
Check this news for more detail : https://news.bitcoin.com/russians-think-bitcoin-makes-great-present/
Like in the past, it is totally hard to understand the stand of Russia in this matter where one day they are ready to teach crypto as subject and other day there are totally against it. Further many rumors also ignite things, So before any permanent decision one should wait for a proper decision from the states-men.

[Basmic]

This attitude of Putin's Russia to cryptocurrency does not surprise me at all. I am sure that Putin will never agree to legalize cryptocurrencies. But Russia's position is of no interest to me. It is a country with a large territory but very weak economy. All the officials there are thieves, and they hide their money in Europe and America. Ordinary people in Russia do not have the amount of money to influence the situation in the cryptocurrency market.

[veleten]

We should stop speculating and wait for them to actually do what they are saying.

That's the whole problem, people have been waiting for years to find out what their actions against crypto will be, but aside from a few minor things, they haven't really done anything, and I very much doubt that they will actually do anything in the forthcoming years. In some cases people say that Russia is similar to China, but that aside from a few aspects, isn't the case on the wider field. In most cases, what China says, China does. People may not like China's actions, but they have made clear what their intentions are, and that's what Russia isn't doing. If you say one thing, and lack the incentive to actually enforce your own laws as government, the market will just make fun of you, and try to test and cross the edge of what is allowed and what isnt.

absolutely,I won't believe anything articles or papers are writing about Russia and cryptocurrencies untill I see the official statement or a press release from their goverment
drafts law to criminalize cryptocurrencies and money surrogates,right? how about Yandex money ,Webmoney and a host of assorted payment systems thriving in Russia
"drafts the law" here is based on the inside information coming from a senator, or rather on gossips and statemements made by some 3rd rate talking heads
I see no reason to criminalize the usage of crypto,especially in the lights of the latest Putin's speech (which is usually quoted in its last part about weapons)
but he also said that Russia will have to make a giant leap in technological development and new,revolutionary systems
lets wait and see and not jump into conclusions too early

[Snaic]

The Russian government demonstrates such diverse and contradictory approaches to the solution of the issue of legalization of the crypto currency, which is often the statements and actions of the authorities are diametrically opposed in their content. Despite Putin's general concept of legalization and strict regulation of the crypto currency in Russia, this bill completely prohibits its circulation on the territory of this country under pain of criminal responsibility. A very tough bill, such draconian methods are not always applied in the most authoritarian states. I hope that this bill will not be adopted as a law by the State Duma of Russia. Although, if the Supreme Court of Russia, considering soon the issue of banning the forum bitcoininfo. ru, will decide on such a ban, it will mean an actual attack on all the crypto-currency and then the adoption of such a bill will be quite real.

[CryptoBry]

Now this is similar to Russia. To bring to the criminal responsibility all those who dare to use the crypto currency as a method of payment for goods and services. It also harmonizes in the sense that the Supreme Court of Russia will soon ban all sites and forums in which there will be a conversation about the crypto currency. At the same time there are still news in which it says that Putin for legalization of the crypto currency. Is not it funny? To say one and do the opposite at the same time. It seems that all lies, this is the style of Putin's governance of the country. Russians, be proud that you are the strongest nation, freedom, you probably do not need.

I am actually tired of reading so many conflicting news coming in from Russia. It seems to me that the whole government and its agencies could not harmonize their stance on cryptocurrency so that there are confusing signals coming from the official about this topic. They must be suffering from cognitive dissonance at varying degrees. Of course, this can just be part of the process which cryptocurrency has to go through before attaining a recognized status...and hope that at the end of the tunnel there will be a light waiting for cryptocurrency and not another dead wall just like what China did last year.