Russians Cannot Pay For Goods and Services Using Cryptocurre...
Cryptocurrency, News

Russians Cannot Pay For Goods and Services Using Cryptocurrencies

A few days ago, it was reported that the lower house of the Federal Assembly of Russia scheduled the second reading of the Digital Financial Assets Bill (DFA) for July 21.

Likewise, the chairman of the house committee on financial market, Anatoly Aksakov, said the house removed references to administrative and criminal liability for dealing in Bitcoin from the DFA Bill.

However, the bill has passed its third and final reading and was approved by the lawmakers on July 22. The bill gives legal status to cryptos like Bitcoin, but it prohibits their use for the payment of goods and services.

According to the Russian news agency, the new law recognizes digital currency as an aggregate of electronic data capable of being accepted as the payment meansbut not being the monetary unit of the Russian Federation or a foreign state, and as investments. However, despite the definition, people cannot utilize digital currency to pay for any goods and services in the country.

The new law noted that the issuance, purchase, and sale of digital assets is only possible within the framework of special information systems. Systems and their operators shall conform to Russian laws and stand filed in a relevant register kept by the Bank of Russia. There are rules guiding the floating and circulation of digital financial assets in the new law.

Russia’s central bank has a critical role to play in the regulation of the new law as it can only determine the digital assets features that can be accessed by qualified investors. Likewise, the law empowers the central bank to maintain the register of information systems and the register of operators of digital financial assets exchange. It will also perform supervisory roles when it comes to the business of information system operators.

Anatoly Aksakov earlier mentioned that the house may adopt the law this month.

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