Regulating Crypto is Impossible, Let’s Restrict It – Russian Finance Chief

The man accused of overseeing Russia’s long-awaited crypto regulations said that new legal amendments would be ready “in about a month” – but suggested that Moscow may now seek to “block” cryptocurrency-related activity rather than police it.

Speaking to media outlet RBC, Anatoly Aksakov, the head of the State Duma Committee on Financial Markets, stated that a “decision” on new legal changes would be forthcoming by the end of October.

The media outlet quoted Aksavov as stating that an already-approved piece of legislation that comes into force on January 1, 2021, “creates the opportunity for active use, including crypto-instruments, stablecoins, and smart contracts.

However, he added,

“But I would now seek to impose limits on everything related to [cryptocurrencies]. It’s a market that is exceptionally difficult – in fact, impossible – to regulate.”

The committee chief added that “everything related to [cryptocurrencies] must be blocked.

Aksakov also noted controversial new leaked proposals from the Ministry of Finance, which could see Moscow impose strict restrictions on transactions made using crypto.

The ministry’s plans would see all crypto holders in Russia legally obliged to report their holdings in annual reports to tax authorities – or risk being fined 30% of the worth of the tokens they hold.

An expert familiar with the matter yesterday told CNWN that the leaked proposals amounted to little more than “testing the waters” to gauge public and industry reaction.

And although Aksakov expressed positivity about the Ministry of Finance’s crypto plans, he added that “there are other options that also require consideration” – an indication that the matter is still very much up for debate.

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