The Russian Ministry of Finance has introduced a groundbreaking concept of exporting cryptocurrencies arising from mining endeavors. This strategic move aims to position digital currencies on par with conventional exports, such as natural gas, potentially reshaping the landscape of the digital currency sector.
Ivan Chebeskov, the Deputy Minister of Finance, unveiled the details of this pioneering initiative during a round table discussion titled “Cryptocurrency and the Future of Digital Finance.”
Notably, Chebeskov explained that the proposed regulations for cryptocurrency exports are designed to closely resemble those governing gas exports. Moreover, this approach empowers miners, allowing them to sell their digital assets as exportable commodities.
Russian Finance Ministry Advances Bitcoin Legitimization and Crypto Sales Regulation
This recent proposal is a sequel to the presentation of a bill to the State Duma in November 2022. The primary goal of this bill is to legitimize Bitcoin (BTC) mining. Additionally, it also seeks to establish frameworks for the vending of mined currencies.
The bill includes provisions to ban cryptocurrency advertising. Additionally, it mandates that cryptocurrency sales must be conducted through foreign platforms. This requirement excludes the use of Russian information infrastructure.
Both the Ministry of Finance and the Bank of Russia support the recognition of cryptocurrency mining as an industry. They endorse the use of cryptocurrencies for settlements in foreign economic activities within an experimental framework.
Regulatory Framework and Timeline for Cryptocurrency Mining in Russia
According to the proposed bill, cryptocurrency miners can obtain digital currencies through foreign systems or a dedicated platform established for the experiment. In either scenario, miners are obligated to report these transactions to the Federal Tax Service.
Furthermore, the Central Bank suggests restricting the sale of mined cryptocurrencies to non-residents. This recommendation also emphasizes conducting such transactions exclusively through foreign infrastructure.
Anatoly Aksakov, the head of the State Duma Committee on the Financial Market, suggested that the bill regulating cryptocurrency mining could potentially take effect in 2024. However, the document is presently undergoing further refinement subsequent to its initial reading in the State Duma.
Russian Finance Ministry Drives Digital Ruble for SWIFT Independence
In a parallel development, Russia has advanced its plans for a Central Bank Digital Currency (CBDC). In July, Russian President Vladimir Putin formally endorsed a bill introducing a digital version of the national currency, the digital ruble.
This move granted legal authority to the Bank of Russia, the nation’s central bank, to serve as the platform operator for the digital ruble.
Furthermore, the digital ruble is slated to function as a novel form of payment, alongside physical and non-cash rubles. However, the motivation behind Russia’s foray into the digital ruble lies in mitigating dependence on the SWIFT payment system, which has faced sanctions. The digital ruble is envisioned to facilitate international settlements independently of a payment system under Western control.
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