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November 17, 2019

Russia chose to regulate Bitcoin instead of banning it

BitcoinThe Russian Ministry of Finance has announced that it is working on legislation that introduces regulations on crypto-cutrrencies without prohibiting or legalizing them as a means of payment in the country. Originally, Russia had said it would ban the crypto-cutrrencies, as they could be used for money laundering or terrorist financing. But as digital money, and especially Bitcoin, have become popular worldwide, the Russian authorities have changed their minds.

The ministry said they were preparing a law to allow crypto-cutrrencies for trade on digital platforms that would have to meet certain conditions to initially offer initial coin offerings (ICOs). Through these measures, the institution believes that they will reduce the risk of fraud and make it possible to tax transactions in support the state budget.

“It should be noted that the use of crypto-cutrrencies on the territory of Russia as a means of payment is not available”, says the official statement of the Ministry of Finance.

The authorities all over the world are trying to hinder the boom in trade in Bitcoin and other crypto-currencies. The Chinese authorities banned initial coin offerings and closed local trading platforms. South Korea has also banned anonymous crypto-currency trading to prevent the purchase and sale of Bitcoins by children under the age of 19 and criminals.

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