Russian President Vladimir Putin has signed a new law to establish experimental legal frameworks to advance digital technologies, particularly cryptocurrencies, in international trade. The legislation allows for the modification of laws to facilitate cryptocurrency transactions, including cross-border trade, and grants the Bank of Russia oversight of pilot projects related to digital currencies.
Putin Signs Law to Advance Cryptocurrency Use in Russia's International Trade
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Putin Signs Law to Promote Cryptocurrency Use in International Trade
Russian President Vladimir Putin signed a law on Aug. 8 establishing experimental legal frameworks to promote digital technologies, including cryptocurrencies, particularly in international trade.
The legislation allows for modifying or omitting certain legislative provisions to facilitate cryptocurrency transactions, such as using digital currencies in cross-border trade. It also enables changes to key definitions like “currency values” and “electronic platforms” and alters regulations governing cryptocurrency trading platforms and the procedures for incorporating digital currencies into the financial system.
The law requires that any experimental legal regime involving digital currencies be approved by the Russian Finance Ministry, the Federal Security Service, and the Federal Financial Monitoring Service (Rosfinmonitoring). It also permits modifications to rules related to the deposit insurance system, the Bank of Russia’s payment system, and consumer loan dispute resolutions.
The Bank of Russia is authorized to oversee these pilot projects, which include using cryptocurrency for foreign trade settlements, organizing digital currency trading, and developing an electronic platform within the national payment system. Central Bank Governor Elvira Nabiullina stated in July that the first cryptocurrency transactions under this new regime might take place by the end of the year.
In addition to this legislation, Putin also signed into law on the same day a bill that regulates cryptocurrency mining in Russia, with the legislation slated to become effective later on this year.
What do you think about Russia’s new law promoting cryptocurrency in international trade? Let us know in the comments section below.
