Written by: TaxDAO
Key points of the new bill
Strict cryptocurrency restrictions to take effect from September 1, exempting miners and central bank projects
Bill aims to strengthen ruble, control cryptocurrencies amid geopolitical tensions
The bill is in the drafting stage and is somewhat controversial. The Russian Finance Minister advocates the use of
1. New bill process
Anatoly Aksakov, a member of the Russian State Duma, has reintroduced a proposal to ban the circulation of private cryptocurrencies from September 1. The proposed bill has not yet been passed by the lower house of parliament, but Aksakov said that "the decision has been made."
2 Main contents of the new bill
The bill proposes that starting from September 1, Russia will impose strict restrictions on the general circulation of crypto assets such as Bitcoin, including the circulation of digital rubles. The organization of the circulation of digital currencies will not be allowed. For example, it is not allowed to use Russian information infrastructure to provide services for the transfer of cryptocurrencies from one owner to another. It is not allowed to publish advertisements or otherwise offer cryptocurrencies to an unlimited number of people. Only digital financial assets issued within its jurisdiction are allowed. Exceptions are only for persons listed in a special register, such as miners and licensed Russian legal entities.
The bill excludes crypto mining and experimental projects related to the central bank from the restrictions because they contribute significantly to Russia’s tax revenues.
At the same time, the supervision of "mining" and cryptocurrency trading has been strengthened. The Russian Ministry of Digital Development, Communications and Mass Media (MinTsifry) will establish a register of "miners". Only after the information about the legal person or individual business is entered in the register, the entity will be entitled to "mining". The government will also set limits on energy consumption. If the company does not exceed these limits, then there is no need to enter the register. Supervision of digital currency transactions. Miners will be forced to inform the regulator (which has not yet been determined) of the cryptocurrency they mined, while providing a unique sequence of characters for recording transactions.
These measures are aimed at preventing unregulated transactions, but not completely banning the use of digital currencies. Artem Kiryanov, deputy chairman of the State Duma Economic Policy Committee, called for precise regulatory rules to balance innovation and risk control. The moderate stance of Finance Minister Anton Siluanov suggests that there are still differences within the government on how to best use cryptocurrencies, leaving room for future policy fine-tuning.
3 Impact of the new bill on the local cryptocurrency industry
3.1 Cryptocurrency circulation is restricted and the ruble’s sovereignty is strengthened
The bill aims to restrict non-Russian cryptocurrency businesses in order to strengthen the ruble’s dominance. is part of a broader government effort to control the crypto ecosystem amid heightened geopolitical tensions. It marks a significant hardening of Russia’s regulatory stance on the crypto sector, aiming to further consolidate the ruble’s dominance as the cornerstone of the country’s economy by restricting non-native cryptocurrency business activities.
3.2 Crypto mining and central bank projects are exempted to promote the development of domestic financial technology
Despite the overall trend towards strictness, Russia's cryptocurrency policy is not completely closed. While restricting circulation, the government has given special treatment to cryptocurrency mining, viewing it as an important source of increasing tax revenue. In addition, testing projects related to the central bank will also be exempted, reflecting that while Russia is trying to curb the influence of external cryptocurrencies, it is also actively exploring the possibility of using blockchain technology to promote the development of domestic financial technology.
3.3 The New Law Brings Both Challenges and Opportunities
For Russian cryptocurrency practitioners, this policy adjustment is undoubtedly a double-edged sword. On the one hand, it means that existing trading platforms and external trading activities will face major challenges, which may force some companies to adjust their business models or move to more friendly jurisdictions. On the other hand, it also paves the way for local cryptocurrency innovation and the promotion of the digital ruble, providing new development opportunities for compliant companies in the industry.