Off late, several countries have been understanding the benefits of cryptocurrencies as well as blockchain technology. Taking it a step forward, many have been legalizing the use of crypto. Russia is the latest country to join the list.
It’s A Yes From The State Duma
Cryptocurrencies have come a long way from just being labeled as a medium that paved the way for illicit activities. Now, cryptocurrencies are globally recognized and accepted. Nonetheless, few countries continue to exhibit a hostile attitude towards digital assets. However, many others have been accepting and have legalized trading as well as mining of cryptocurrencies. Russia is the latest to jump onto the bandwagon as the country passed a bill legalizing cryptocurrencies.
The Russian news agency, Regnum reported about the same and revealed that The State Duma, the lower house of the Federal Assembly of Russia had passed a bill titled “On Digital Financial Assets” pertaining to cryptocurrencies. The third reading of the bill indicated that cryptocurrencies like Bitcoin would be considered legal from 1 January 2021. This, however, is limited to crypto transactions, as Bitcoins, as well as other cryptocurrencies, would reportedly continue to remain restricted as a payment method.
The news agency further reported that the regulatory framework pertaining to these digital assets would fall under the purview of another law that would be put into place during an autumn session. Along with this, factors like mining and tokens were also exempted from the latest bill.
Just yesterday, during the second reading of the bill the State Duma, highlighted that citizens of Russia would not be punished for using crypto assets. This further hinted at the legalization of cryptocurrencies in the country.
The State Duma’s latest decision is speculated to be influenced by several other wings of the country. Last month, the Russian Ministry of Economic Development formulated a letter to the lower house of the Russia’s Federal Assembly condemning the ban on cryptocurrency.
Even though the LocalBitcoins volume in Russia is not significantly high, the latest move by the Russian government could spur up the volume.