Russian official says bill will give companies leeway in using crypto internationally

An official from the Russian Finance Ministry has provided new details about a digital currency bill being drafted. The bill provides lo...



An official from the Russian Finance Ministry has provided new details about a digital currency bill being drafted.

The bill provides local infrastructure for settlements and the regulation of mining, but will leave many details for companies to organize themselves, the head of the financial policy department said on Monday. Minister of Finance, Ivan Chebeskov, during a round table organized by the Russian International Chamber of Commerce in Moscow. Interfax cited Chebeskov as saying:

“It’s not entirely clear how this should be regulated, so we are giving companies the option with this invoice to pay with cryptocurrency, but in terms of what cryptocurrencies will be used, how to negotiate with counterparties , with which countries it will operate – all that is what we leave to the entrepreneurs.”

On September 13, Russian Prime Minister Mikhail Mishustin ordered the Ministry of Finance, the Central Bank, the tax service, the anti-money laundering authority Rosfinmonitoring and the FSB security service reach consensus by December 19 on legislation regulating the issuance and circulation of cryptocurrency, mining and the use of cryptocurrency in international regulations. The Prime Minister’s instruction did not extend to domestic use of cryptography.

Chebeskov said that the Ministry of Finance and the Central Bank are starting new discussions on the regulation of cryptocurrency in response to this order and that several texts of the bill currently exist. Mining was discussed separately and the “agencies’ view is more similar” on mining than on settlements.

Related: Moscow Stock Exchange is a good base for crypto trading, says Russian lawmaker

The Ministry of Finance and the Central Bank have long been at odds over the place of cryptocurrency in the Russian economy, with the Central Bank initially strongly opposing the use of cryptocurrency for payments . However, the bank’s position slowly eroded as sanctions imposed in February after Russia invaded Ukraine began to take their toll.

An announcement made on September 5 indicated that the Central Bank may be willing to accept to the use of crypto in international trade, after long deliberations. Mishustin spoke favorably about the use of cryptocurrency in international trade after Iran approved the use of cryptography for import payments.