Russia’s Plan About Cryptocurrency, ICO Regulation- to Introduce Obligatory Registration, Taxation for Miners
The Russian government announced its course of action on the regulation of cryptocurrency, including ICOs. Around July 2018, the regulatory frameworks on the definitions of cryptocurrency (which Bitcoin represents), smart contract technologies, the issue of tokens by ICOs, etc. will be discussed.
At the moment, apart from bills that obligate miners to register and their taxation being considered, the establishment of a sandbox aimed at miners is also being planned.
“Accelerate FinTech in the Eurasian Economic Union”
According to the “Future Task Document” published by the government, the maintenance of a full-blown cryptocurrency environment will be implemented for “the adoption of new FinTech into the Eurasian Economic Union (an economic alliance in which 5 countries such as Russia, Armenia, and Kazakhstan are participants)”.
In Russia, the pros and cons surrounding cryptocurrency had been unfolding over the past several years. But with President Putin setting up an official meeting with senior regulatory officials, and agreeing on the course of action for introducing a final regulation, the situation is being expected to achieve rapid progress.
Anton Siluanov, the Finance Minister, had been advocating the importance of regulations regarding the environment surrounding cryptocurrency at the meeting.
Apart from government personnel such as Andrey Belousov – the Assistant to the President of Russia who is also an economist, and Elvira Nabiullina – Governor of the Central Bank of the Russian Federation, people such as Sergey Solonin, CEO of the payments company QIWI, also attended the meeting.
Is the maintenance of an environment compatible with cryptocurrency a priority issue?
Precisely because a ban on the usage of cryptocurrency was being debated repeatedly in Russia, this time’s move seems to be taken as something that many people are looking forward to. It was being reported that presentation of the bill, not having reached an agreement with the regulatory officials, would be postponed.
According to the news on media such as RT – although the particulars have not been disclosed in the documents officially announced by the government – President Putin himself ordered the introduction of a regulatory framework that included taxation on cryptocurrency.
President Putin himself, while denying an attitude that negates the potential of cryptocurrency from excessive wariness, seems to be regarding the maintenance of an environment that is compatible with cryptocurrency as a priority issue. He has been giving off warnings regarding the dangers of cryptocurrency under conditions that have not been regulated even this far.
As a consequence, the regulation that will finally be introduced in Russia can be expected to become something that will place all cryptocurrency-related activities under the jurisdiction of the government.
The establishment of the sandbox should greatly contribute to accelerating Russia’s blockchain development capabilities. This is part of the support of “offering a site for experiments on revolutionary financial services,” and has the intention of boosting innovation by relaxing the regulatory framework for companies. It is an idea common to things such as “regulatory sandboxes” that started in the UK in 2016.
(Kotoko Allen, a freelance writer living in the UK, FinTech online)
This article was posted on October 27th, 2017 on ZUU online JP.