|May 17, 2018 07:10 PM||By: John Patrick Mullin | 4351 Views|
Russia may be on the verge of legalizing cryptocurrencies including a regulatory framework, but it’s however far from accepting them as means of payment it looks. Country’s State Duma Committee on State Construction was recorded to hold the first reading of amendments to Country’s Civil Code today for the formation of Digital Currency related amendments, but it’s setting out that the committee is doubtful to make digital currencies acceptable for payments.
This news has developed from Russian news source Izvestia, which is the news door of Russian IT Ministry. It was reported in Izvestia’s statement that though State Duma Committee intends to support the amendments to form the constitutional basis for support of digital transactions and digital rights administration in future, it doesn’t plan to give the nod on taking of cryptocurrencies as means of payments.
The amendments were first assigned to Duma Committee in March. At that time Russian President Vladimir Putin had also proposed Central Bank and Government to conduct an assessment of cryptocurrencies, including the risks compared with them and whether they’re significant enough to be involved in the formal banking system. After the report of that assessment, Putin had set an ambitious deadline of July 1 for implementation of a proper framework to regulate cryptocurrencies. Furthermore, now the work is continuing for implementation of that particular bill itself. This difference to Russian Civil Code is also a move in that direction to form the legal authority for the implementation of that bill.
However, while these amendments to the civil system won’t make cryptocurrencies accepted for payments, the bill that Russia plans to implement by 1st of July may do that. That bill, according to specifications leaked so far, thinks to release cryptocurrency payments in “controlled quantities” and will build the rules around how such payments can be done.
Other significant parts of the upcoming bill are that it holds digital confirmation of a recognized user as his written consent and it legalizes the property and processing of large quantities of data. Both these things are necessary for smart contracts.
Russian Government has also proposed Duma Committee to use common terms like “cryptocurrencies” and “token” rather of less-common complicated jargon like “digital law” and “digital currencies”. The bill is presently listed for consideration at a plenary session next week.