For next year, Russia is preparing to implement a cryptocurrency law, announcing that it will allow cross-border payments.
In an interview with the Russian newspaper Izvestia, the Chairman of the Russian State Duma Committee, Anatoly Aksakov, announced that there are possible regulations on cryptocurrencies on the horizon that will come into force in 2024.
One of the main actions being sought is to legalize cross-border transactions with cryptocurrencies by the second half of 2024. Likewise, so far it is planned that a law that allows the use of digital currencies in agreements will also be approved in the same year. mutual agreements between the BRICS countries that participate between 2025 and 2026.
Discussion on a set of bills on the regulation of cryptocurrencies was planned for November this year. However, due to problems in coordination between the different participating institutions, the meeting has been postponed to January 2024.
Russia’s comprehensive approach to cryptocurrency regulation covers several aspects of the industry, including mining, circulation, use in cross-border payments, and taxation. Notably, the proposed legislation also introduces penalties for the illicit use of cryptocurrencies, underscoring the government’s commitment to maintaining a legal and orderly crypto environment. Aksakov emphasized the urgency of addressing these issues, given the importance of the cryptocurrency market in Russia.
Plans on Cryptocurrency Regulation for 2024
Among the plans for the Russian Financial Market for next year are also the regulation of mining, the circulation of cryptocurrencies. As well as cross-border payments and taxes. That is, the introduction of sanctions for the illegal use of cryptocurrencies.
Regarding the possible implementation of 20% income tax for miners, Aksakov mentioned that this is still under discussion. “Maybe we will tax income instead of profits. In any case, the collection will become a source of income for the budget,” Anatoly Aksakov explained.
In this sense, there is a proposal by the Ministry of Finance to allow miners the right to sell cryptocurrencies as an export product. Likewise, the State Duma indicated that it is in favor and will do everything possible to ensure that the law is approved in the first half of the year.
After that, in the second half of 2024, companies will be able to legally begin to carry out cross-border transactions with cryptocurrencies. «I admit that the market will continue to develop. “Under sanctions, Russian companies have already increasingly started using cryptocurrencies for payments.” Aksakov highlighted.
He pointed out that it is very likely that during the BRICS summit scheduled for October 2024 in Kazan, the creation of a collective currency will be discussed.
Schedule and Implementation
Anatoly Aksakov’s announcement on the timeline for the implementation of crypto regulation offers an insight into the Russian government’s commitment to this initiative. By setting a target of March or April 2024 for the passage of legislation, Russia aims to quickly adapt to the changing financial landscape shaped by cryptocurrencies. This timeline provides businesses and individuals with clarity on when they can expect regulatory changes to come into effect.
Russia at the Forefront of Digital Assets
Despite the challenges, Aksakov shows clear optimism about the upcoming regulation and recognizes the evolving nature of the market. Maintaining that, Russian companies facing sanctions have started using cryptocurrencies to make international payments.
For this reason, the implementation of this legislation marks an important milestone in the establishment of a regulated framework for the use of cryptocurrencies in the country. At the same time, they are at the forefront when it comes to digital assets.
By Audy Castaneda
