Russia’s New Bill Directed at Allowing Crypto Payments

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Russia’s New Bill Directed at Allowing Crypto Payments

A bill that directs at protecting the cryptocurrency owners’ rights was recently introduced in Russian parliament. The bill aims to protect the owners’ rights while regulating their use of payments. The bill enables the authorities to apply taxation, inheritance rights and bankruptcy claims on cryptos.

The law also recompenses the Russia’s Civil Code so that a foundation for legal relations in digital economy is formed. The draft of the bill is co-sponsored by the head of parliamentary Legislation Committee Pavel Krasheninnikov and Speaker of State Duma, Vyacheslav Volodin.

According to Rossiyskay Gazeta authors

The cryptocurrencies are referred to as ‘digital money’ as per the new law as reported by Rossiyskay Gazeta. According to Rossiyskay Gazeta authors, it is essential to define the cryptos legally as well as the other digital terms in order to ascertain that the legal rights of the participants of virtual transactions that take place in cryptocurrency trade, are protected.

The draft of the bill also covers the points that include deposits, acceptance for payments, transfers along with units of account and the fact that they will not be mandatory in the Russian Federation.  The bill calls for the use of cryptocurrencies as mode of payments when the risks are excluded and it is possible technically.

Krasheninnikov said

Krasheninnikov said that digital money shall be used as a payment instrument but solely in cases and the terms which have been established by the law. He also said that the quantities shall be controlled and the information of the users shall be gathered as well. It was also claimed by the lawmakers that this action shall enable the authorities to keep track of cryptocurrencies in the cases of bankruptcy.

It is anticipated that the legislation shall help in facilitation of the digital deals like smart contracts. Furthermore, the digital confirmations shall be valid the same way signatures and written statements are.

If the new bill is adopted, then the new digital economy law should come into effect by May 1, 2018. The legal status of the cryptocurrencies is now the main topic of discussion and is being discussed regularly in Moscow. If the latest bill wins the support in the parliament, then the cryptocurrencies might be accepted as a payment mode in Russia after all.