Russia: Criticism for Proposed Cryptocurrency Regulation
Russia is one of the countries which have been working on cryptocurrency regulation. The country is said to have reached a proposed draft for cryptocurrency regulation, but not everyone agrees with it. For instance, a presidential candidate, Boris Titov, considers that the proposed regulation for cryptocurrencies is too strict.
Boris Titov says that Russia's cryptocurrency regulations are too strict
The presidential candidate is not the first person to speak against the cryptocurrency draft law. He claimed that the draft law created by the finance ministry of the country with the purpose to regulate cryptocurrencies contains requirements that are "excessively strict."
Titov made quite an unexpected statement, saying that cryptocurrencies could end up disrupting governmental powers and this is the reason why governments are interested in regulating them. He stated in a press release that:
““The Finance Ministry’s proposals present a much tougher regulation than in Japan, Switzerland, Belarus, Armenia. That is, in all countries that have adopted some form of legislation. It would be better not to adopt anything than to adopt such legislation. Blockchain allows people, entrepreneurs, and the technological community to control officials, which they do not like, of course.””
The draft law was published by Russia's Finance Ministry on January 25. In the document, authorities have presented the legal framework in which cryptocurrencies and mining can function. According to the authorities, regulating cryptocurrencies will reduce the risk of being associated with violations of the law and will increase transparency.
The proposed regulation also includes a part regarding cryptocurrency trading. Authorities want trading to be conducted only on licensed exchanges. At the same time, miners will have to register with the government, and mining itself will be considered as an entrepreneurial activity.
Russian officials, including the country's president Vladimir Putin, have previously talked about the potential of releasing a national cryptocurrency. However, before that will happen, the market has to be regulated.
