In brief: The Russia’s leading public associations of entrepreneurs has sent a proposal to their government. Since, asking them to approve only domestic cryptocurrency in their future cryptocurrency legislation.
Proposal to Government
The Association of Entrepreneurs for the Development of Business Patriotism sent a proposal to the Federation Council and the State Duma on Monday. As to legislatively permit only the circulation of domestic cryptocurrencies in Russia.
Avanti is one of the Russia’s leading public associations for entrepreneurs and businessmen. Since it is supported by member of the Russian parliament, the association works with entrepreneurs, officials and regions to promote the idea of business patriotism.
In its letters, the association wrote:
“We propose to prohibit the issuing and circulation of foreign cryptocurrencies in the territory of the Russian Federation. As to concentrate on the development of domestic virtual currencies”.
Association Sees Substantial Risks
Rahman Yansukov, the head of the association outlined in the letter that foreign cryptocurrencies can “stimulate the development of not only the shadow economy but are capable of generating new forms of ‘universal evil’, like terrorism, human trafficking and drug trafficking”.
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Further, he added that they “bear significant risks for the state and every citizen that includes lack of control over the issuance of money, insufficient security of operations, anonymity and decentralization”.
Avanti’s letter suggested that,
“Bribes to unscrupulous officials or compensation to saboteurs cannot be tracked and warn, since both subjects of the transaction, like the currency itself, will be anonymous”.
State Duma’s Comment
Following with the proposal, a response from the Chairman of the State Duma Committee Sergey Zhigarev,
“I’m not sure that it is technically possible to separate the sale of cryptocurrencies, for example, by Russian companies … from foreign cryptocurrencies, so regarding the ban – this is a technically impossible thing, in my opinion”.
Recently, Vladimir Putin said that Russia will be regulating cryptocurrencies. Hence, Russia will be working to draft the basic regulatory framework for them. Meanwhile, Russia is also working on its national cryptocurrency, the cryptoruble.