The Russian Attorney General’s Office drafted a bill that in order for cryptocurrencies, and other virtual assets, to be recognized as property under legislation, it now needs the support of other politicians to pass.
Although Bitcoin is more than 12 years old, many countries are lagging behind in providing regulatory clarity. As well, it is important to note that there are many other cryptocurrencies, each one of them acting with different purposes and means in the market.
Now Russia, like other countries, must choose a path. Ban Bitcoin or take advantage of it to profit from it, after all today Russia is the third largest concentrator of bitcoin mining power, not to mention other cryptocurrencies.
regulation on the way
Igor Krasnov, Attorney General of Russia, explained that recognition of cryptocurrencies as property could be used in legal proceedings. His speech took place in the Duma, the lower house of the Federal Assembly, while he asked for the support of legislators.
Although Russia has already taken certain positions on cryptocurrencies, including them in laws related to money laundering, bankruptcy and even anti-corruption law, cryptocurrencies still live in a gray area of legislation in other areas such as mining.
“The status of online platforms offering the opportunity to buy and sell cryptocurrencies anonymously has yet to be determined, and the issue of classifying virtual assets as property for criminal prosecution purposes has not yet been decided.“said Igor Krasnov, Attorney General of Russia
As Bitcoin is a new asset, despite being more than 10 years old, many lawmakers are still struggling to get it fully framed. After all, in addition to being a currency, Bitcoin is also a payment system and, in analogy with gold, is mined.
As an example, although Russia is the third country with the largest contraction of miners, there is still no specific law for the activity. What, in addition to frightening entrepreneurs, also does not allow the country to levy taxes on those who work in this area.
It is necessary to choose a path
Russia now has to make a choice, go China’s way and ban cryptocurrencies altogether, or act like the US, encouraging the industry to profit from it.
This bill shows that they are more tempted to do the obvious, after all, the ban on cryptocurrencies, like Bitcoin, is a fight in which Russia would be the only loser. Bitcoin does not depend on governments to exist.