Russian Authorities Impounding Rules for Mining Crypto

The Russian prosecutor general showed his concerns over the popularity of cryptocurrency. During his media talk, he emphasized that digital currencies were frequently used for kickbacks in the past. The Russian government immediately started legislation on the matter to allow law enforcement agencies to seize the illegal use of cryptocurrency.

While addressing a conference in Saint Petersburg, Igor Krasnov openly showed his concerns by adding that the illegal and criminal use of crypto is a threat for Russia. The Russian authorities passed the law for the regulation of digital currency last year but to no avail. As a result, courts in Russia granted permission to law enforcement agencies to “take all the precautionary measures to seize the illegal use of digital currencies.”

He further added that crypto-backed kickbacks and corruption are even harder to trace as compared with fiat money. Previously, The Russian Financial Taskforce said they are committed to tracing bitcoin cash-outs. They also planned to introduce a classification code for digital misconduct involving crypto. To maintain transparency regarding the country’s financial affairs; Russian legislators introduced a legal system to hold cryptocurrency as a taxable asset.  Russia also banned public officers from obtaining cryptocurrency earlier this year. Recently, Bitcoin has received quite some attention in Russia. Russian civil and political activists are using it as a fundraising tool.

The current bill presented in parliament will be approved shortly.  The approval means every Member of Parliament will have to share the details about the last three year’s spending on digital currency. The Russian parliament, in May, passed the first draft of the bill. That means every Member of Parliament will report to the political office the amount of cryptocurrency they own. After two more parliament hearings, the bill becomes law. Earlier in December, the Russian President passed an executive order holding government officials responsible for reporting their affiliation with cryptocurrency.

A report published on the Russian Parliament’s Website concluded that the legislation ensures transparency in cryptocurrency trading. Rather than discouraging crypto traders, the Russian Government is willing to encourage the transparent use of cryptocurrency to save people’s time and money.