The new draft of regulations in digital currencies has been introduced in Russia. Citizens are required to take online tests before investing in digital currency. This is part of the plan to create a legal framework for virtual currencies in the country. According to the Russian Ministry of Finance on Monday, the condition of the test is to ensure this. Citizens are well aware of the dangers associated with investing in digital currencies. All Russian citizens must take an online test before purchasing digital currency if the proposal is approved.
Anyone who succeeds in this experiment can buy digital currency up to 600,000 rubles ($ 7,500) a year. But for those who fail the test, the annual investment threshold for their digital currencies will be limited to 50,000 rubles ($ 630). These test requirements are also on top of the Accurate Customer Identification Protocol (KYC) prescribed by the draft policy. In addition, digital trading platforms are required to protect records containing all customers’ identifying information.
Part of the draft regulation of digital currencies is related to exchange offices, subject to a licensing regime. A designated authority will also oversee the compliance of digital currency trading platforms. This oversight includes risk management systems, corporate governance, and internal auditing. All platforms send documents that customers and the exchanges themselves encrypt.
This draft does not recognize virtual currencies.
However, this draft includes regulations for collecting taxes from digital currency miners regarding the extraction of digital currencies. In January, Russian President Vladimir Putin called for laws to extract digital currency. But Putin’s position was quite different from that of the central bank, which advocated a total ban on digital money.
The draft digital currency regulations continue to seek to legalize cryptocurrencies in Russia. But this document does not recognize virtual currencies as a means of payment.