Russia's Move to Regulate Crypto as Currency Instead of Assets

Saw this news in a major Russian publication. The government and the Bank of Russia decided to regulate cryptos as currencies instead of assets. They plan to have a draft ready by mid-February. Only fully identified transactions will be allowed through banks or licensed intermediaries.

I gotta say, this whole thing is pretty complicated. Not all cryptos are actual currencies, especially tokens. I mean, I only see Bitcoin, ETH and a few others fitting that bill. Most are just financial instruments. Let’s see how this law shapes up.

I have mixed feelings about this whole switch in policy... Feels like they just want to trap people, especially with those restrictions. And what about those unreported cryptos?

Can we just hang tight until February 18th? That’s when they’ll introduce the draft. Regulating Bitcoin as a currency is a step forward, but I wonder how they plan to implement it. They won’t replace the ruble or accept Bitcoin as payment, right? Gotta be careful with trusting this government.

I really don’t get the whole point of classifying them as currencies and not assets. Aren't the core principles of crypto based on regulations?

Looks like they’re moving towards legalizing Bitcoin. Considering Russia has tons of billionaires, this could really shake up Bitcoin prices. But why is a communist government suddenly dabbling in crypto legislation? They’ll try to keep a tight grip on it.

It’s baffling that this isn’t seen as good news. Bitcoin’s price is dropping anyway. Is it less favorable to classify it as a currency instead of an asset? Taxes apply on both cases. Maybe this opens doors for Bitcoin being legalized like in El Salvador?

Check out this article from a good source. Nothing’s really changed; the Central Bank wants to limit crypto as much as possible while the Finance Ministry is pushing for regulation. No clarity on taxes either. And enough about the communist government talk, it’s not helpful.

Damn, that article tells a different story from the original post. Looks like progress is still stalled and the Bank of Russia is still all about banning. I did like the idea of a threshold for declarations though. Here, paying with Bitcoin can lead to tax issues if seen as a partial sale. Setting a limit could help avoid that.

Honestly, most people in Russia seem okay with the current chaos. While the Central Bank and Finance Ministry are debating, crypto users don’t have to deal with taxes or extra problems. Without regulation, around 20 million folks are already into crypto.