Russia to soon reveal cryptocurrency legislations
The long-awaited crypto regulations from Russia are soon to be here, and they have made a portion of the regulations known to the public.
The Ministry of Finance in Russia will be revealing their legal guidelines and framework on the matter of cryptocurrencies, drawing the interest of many parties that participate in the cryptocurrency ecosystem.
This framework is said to encompass every aspect of the cryptocurrency sector from that of Initial Coin Offerings in the country to mining and even on the matter of how taxes will be levied on the growing industry.
In the process of drafting legislation
The Russian Minister of Finance, Anton Siluanov, has verified through the media element of the state, that he and members of his Finance Ministry are working together to draft laws regarding the matter of virtual currencies in the country.
The laws will include the trading transactions that take place on cryptocurrency exchanges and will address the aspect of cryptomining in the state.
He further stated:
“The Ministry of Finance has prepared a draft law, currently under consideration, which will determine the procedure for issuing, taxing, buying and circulation of cryptocurrency,” Siluanov said, according to TASS.”
Representatives from the Russian central bank also had a couple of words to say on the matter:
“Our country has a tremendous potential of innovations, our students, young people and entrepreneurs have the edge over any country in the world from the viewpoint of ideas, and amid the lack of classical institutions of startups support, ICO development has a huge potential to finance those ideas.”
They further revealed the amounts that can be raised in the new investment vehicle of ICO’s:
“A maximum of 1 billion rubles (USD$17.3 million) can be raised through an ICO, and each unqualified investor will be able to invest a maximum of 50,000 rubles ($864).”
It seems that those who are charged with creating the rules understand some fundamental aspects of the virtual currency market and have modified regulations for qualified investors.
“We want to make the bill as direct as possible and minimize the reference to the norms of the Bank of Russia so that the regulation of ICOs does not become another currency control.”
Despite the previous scare by the Kremlin on their imposition of an across the board ban on cryptocurrency exchanges in the country, the government has switched their view and eased up a little bit.
They had moments of doubt and skepticism, calling the sector and its offerings not worthwhile and financial instruments that didn’t have value, primarily used by those of the criminal nature.
They commented later that they would head to the market and provide guidelines for how all parties should act. This about-face took place after a discussion with the leader of Russia, Putin, and various members of their government and business sectors.
They have then considered even implementing their own state-backed currency.
Russia to deliver regulations in July 2018
As the regulators are making progress to meeting goals set forth by their superiors, these regulations on the matter of initial coin offering and other issues in the virtual currency space, are expected to be implemented in the middle of next year, by July 2018.
The country has been somewhat slow and careful in how they are viewing this emerging sector and have had various thoughts on the matter. They have stepped up the pace as their leader, Putin, has expressed his blessings of sorts on the growth of the cryptocurrency industry.