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Friday is supposed to be D-Day for Russian MPs, who are set to unveil their much talked about crypto regulation bill, but the drama continues, leaving some to wonder if the law will pass so quickly. as some expected. . .
As reported, top parliamentarians predicted that the bill, due to be officially introduced on February 18, could pass the State Duma (Russian parliament) in the first half of this year. Details revealed so far indicate that the bill will seek to “legalize” cryptocurrencies, but will largely regulate its use, tax merchants, and control cryptocurrency exchanges and brokerages.
But the Central Bank of Russia remains fiercely opposed to these measures, preferring instead a Chinese-style blanket ban. Its leaders recently issued warnings about "new risks" the bill could create for Russia's economy and society.
However, the finance minister responded by saying that "it is impossible to ban cryptocurrencies."
Quoted by Forbes Russia, Minister Anton Siluanov said:
“The Central Bank wants to ban crypto assets, cryptocurrencies, arguing that they create risks, mainly for citizens, and can 'infect' financial institutions and banks, as well as create an opaque settlement market. It is the same as banning the Internet: it is impossible.
While acknowledging that the central bank's concerns were "understandable," he urged the bank to stop procrastinating and accept the government's proposals.
“Even if we make a mistake at some point, we can always correct it. It is worse when the decision is delayed. gray industry just continues to develop in the meantime,” she said.
But the Central Bank has also dipped an oar and says fake miners and other cryptocurrency scammers are wreaking havoc in Russia.
In a report dated February 16, the Central Bank claimed that in 2021 it had identified "almost 2.700 'illegal businesses and financial pyramid schemes'."
More than half of the 871 pyramids (53%), he added, were found to be “raising cryptocurrency funds” or had “announced investments in various non-existent crypto assets,” including mining token development projects that don't even exist.
The bank said it had managed to remove some 3.000 fake websites owned by scammers, many of which allegedly ran cryptocurrency and currency-themed programs.
But the Ministry of Finance does not seem intimidated by the bank's persistent claims. The Central Bank would prefer to follow a ban with the launch of its own digital ruble. And while the Kremlin seems interested in issuing a digital currency, it also seems interested in not scaring away miners, especially as the tense situation around Ukraine means foreign energy markets could become increasingly reluctant to buy Russian energy resources.
Siluanov, Vedomosti reported, went on to talk about developing an “amnesty” mechanism for people who “already own cryptocurrency.” The minister suggested that cryptocurrency holders should look to link their wallets to banks or other mainstream financial institutions, so that their "assets" can move "into legal circulation." Those who do not comply, he suggested, "should be dealt with by the police."
He added that miners should also be "assigned an economic activity code" and taxed accordingly.