According to Russian news agency RBK, the Russian government has put forward a roadmap to regulate the crypto industry in the country rather than impose a comprehensive ban on cryptocurrencies.
The roadmap signed by Dmitry Chernyshenko, vice-president of the government, aims to end anonymity in the crypto industry by introducing a know-your-customer (KYC) imperative and holding crypto companies accountable for any delays.
There Are Heavy Regulations But No Ban
According to the proposed timeline, the Russian Ministry of Finance should design a compliance control platform for peer-to-peer platforms (P2P) by May. The crypto industry should also adopt the anti-money laundering (AML) guidelines recommended by the global Financial Action Task Force by November. In addition, the registration and reporting rules of crypto platforms need to be prepared by the end of the year.
The draft also proposes various sanctions for any failure to declare cryptocurrency transactions. However, the idea of introducing a law to require the declaration of crypto-assets by all Russians has also been explored, but no timeline has been set for this.
The draft of the crypto regulation plan was prepared by a working group made up of members from several Russian ministries and institutions. Moreover, the development comes just a week after the Central Bank of Russia announced its intentions to completely ban the circulation of cryptocurrencies in the country. But as it turns out, the proposals of the draft challenge the central bank’s proposal for crypto.
Previously, Russia legalized cryptocurrency by calling it property, but banned their use for payments. However, the laws regarding cryptocurrencies in the country are still complex.