Russia passes the bill that allows cryptocurrency Payments in Foreign Trade

The finance ministry, according to a news report, has made a number of changes to the law it has been working on over the previous few months.

This year, a proposal to allow businesses to utilize cryptocurrencies in cross-border transactions made its way into a draft law intended to govern Russia’s crypto market.

Changes to the Cryptocurrency Bill Could Allow Russia to Accept International Coin Payments.

Alternative since western sanctions

According to official sources, the Russian Ministry of Finance has changed its draft law “On Digital Currency” to include numerous proposals from other government departments and organizations.

The revisions were developed in collaboration with Russia’s financial watchdog, Rosfinmonitoring, and the ministries of economics, digital development, and interior affairs.

The Central Bank of Russia is the only significant institution missing from that list since it continues to reject any legalization of cryptocurrencies such as bitcoin and opposes the Minfin’s A legislative concept that aims to create a legal market for digital assets.

In February, the ministry’s legislation was submitted to the federal government for the first time.

Russian authorities have come to the conclusion that cryptocurrencies should not be recognized as legal cash in the nation.

The “On Digital Currencies” legislation restricts the use of crypto assets as a method of payment but suggests that they be recognized as a form of investment.

Nonetheless, Vedomosti said that a term included in the recent amendments would allow Russian legal firms and private businesses to utilize cryptocurrency to make payments to overseas counterparties.

The announcement comes after the Interfax news agency reported earlier that Russia’s finance ministry is examining this alternative since western sanctions imposed over the Ukraine conflict have limited Russia’s access to standard payment methods.

A restriction on the promotion of crypto trading platforms that are not licensed to operate in Russia is one of the other recommendations included in the updated law.

At the same time, authorized exchanges may be compelled to keep and share information on cryptocurrency ownership and transactions with Russian law enforcement agencies for a three-year period.

Only clients who have passed identification verification and have Russian bank accounts will be allowed to purchase and sell bitcoins.

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Andrew is a blockchain developer who developed his interest in cryptocurrencies while his post-graduation. He is a keen observer of details and shares his passion for writing along with being a developer. His backend knowledge about blockchain helps him give a unique perspective to his writing