Provision Allowing Cryptocurrency Payments in Foreign Trade Added to Russian Bill – This year, a proposal to allow companies to utilize cryptocurrencies in cross-border settlements made its way into a draft law intended to regulate Russia’s crypto space. The finance ministry, according to a press report, has made a number of changes to the law it has been working on over the past few months.
According to government sources, the Russian Ministry of Finance has changed its draft law “On Digital Currency” to incorporate numerous proposals from other government departments and agencies. The revisions were developed in collaboration with Russia’s financial watchdog, Rosfinmonitoring, and the ministries of economy, digital development, and internal affairs.
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The Central Bank of Russia is the only major institution missing from that list, since it continues to oppose any legalization of cryptocurrencies such as bitcoin and opposes the Minfin’s regulatory concept, which attempts to build a legal market for digital assets. In February, the ministry’s legislation was submitted to the federal government for the first time.
Russian authorities have attributed this to the fact that cryptocurrencies should not be accepted as legal tender in the country. The law “On Digital Currencies” prohibits the use of crypto assets as a form of payment, but recommends that they be recognized as a form of investment.
Nonetheless, Vedomosti said that a provision included in the latest revisions will allow Russian legal entities as well as individual entrepreneurs to utilize cryptocurrency to make payments to foreign counterparties.
The announcement comes after the Interfax news agency reported earlier that Russia’s finance ministry is examining this alternative since western sanctions imposed over the Ukraine conflict have hampered Russia’s access to traditional payment methods.
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A restriction on the advertising of crypto trading platforms which are not licensed to operate in Russia is one of the other proposals included in the revised bill.
At the same time, approved exchanges may be required to preserve and share information about cryptocurrency ownership and transactions with Russian law authorities for a period of three years. Only customers who have passed identification verification and have Russian bank accounts will be able to purchase and sell cryptocurrencies.
