Russian officials seem to be working toward a plan to integrate cryptocurrency into the country’s financial framework
Ezra Reguerra at Cointelegraph reports today on a proposal by the Russian Ministry of finance that would help to – put crypto – within a traditional banking infrastructure
Detailing some of the background, Reguerra reports that Russia’s central bank wanted a crypto ban based on things like volatility, crime potential and the environmental impact of bitcoin
However, the RMF reportedly went to bat for cryptocurrency, citing tax revenues and better tracking of criminal activity.
“A few days after the central bank’s call for a ban, Ivan Chebeskov, an official from the ministry, stated that the government should regulate crypto instead of banning it entirely,” Reguerra writes. “Chebeskov said that the authorities should provide an opportunity for the industry to develop and that a complete ban may result in Russia falling behind on the technology.”
In Reguerra’s report, Putin calls for a consensus between the two parties and looks for a more defined strategy to incorporate cryptocurrency into the national economy.
The current environment in Russia is seen as an opportunity by some big names in crypto, including Binance, a popular platform that has nonetheless faced challenges in getting traction in the U.S.
“Our goal is to obtain a licence and conduct legal business where the regulation allows,” Binance Eastern European Director Gleb Kostarev told Reuters, according to Reuters coverage today by Elena Fabrichnaya. “For now, we consider this as an invitation to dialogue with the regulator. … In Ukraine, Kazakhstan and Uzbekistan they are more loyal to cryptocurrencies and are taking steps towards liberalisation, rather than restriction, but local regulators are taking these steps with an eye on Russia.”
Will these types of efforts succeed? That’s partly down to whether the Russians can agree on a path forward, one that puts crypto and the surrounding capabilities of digital assets into a usable context. That’s easier said than done, but crypto fans are looking hopefully to the Kremlin, for now.