The Prosecutor General’s Office of the Russian Federation is pressuring the parliament and government in Moscow to allow it to set up cryptocurrency accounts and wallets to store cryptocurrencies confiscated from criminal cases for later auctions to replenish state coffers.

Madina Dolgieva, representative of the Criminal Prosecution Department of the Prosecutor General’s Office, is convinced that this can be achieved by government decree. Speaking before the Federation Council, the upper house of Russia's parliament, she said:

We could allow investigative authorities to open their own cryptocurrency accounts and wallets. There is no need to amend the Criminal Procedure Code as this is a lengthy process.

In addition, Madina Dolgieva also believes that it is necessary to issue a separate government decree or amend the current law on law enforcement procedures to authorize the Russian Federal Marshals Service to auction confiscated cryptocurrencies.

Earlier this week, the head of Russia’s prosecutor general’s office, Igor Krasnov, said that cryptocurrency service providers should be required to register in Russia and share user data with Russian law enforcement.

He also urged Russia to designate a more comprehensive regulatory framework for cryptocurrencies. He believed that simply recognizing "cryptocurrencies as property" is not enough to combat crime, but instead increases the risk of cryptocurrencies being used for illegal activities.

Igor Krasnov also called for the inclusion of cryptocurrency-related illegal activities in Russia’s criminal code, including acknowledging that cryptocurrencies can be used as criminal tools and establishing procedures for the legal seizure, storage and confiscation of cryptocurrencies.

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