Russian experts opposed the granting of the FTS the authority to determine the market price of digital currencies
Commission asks to withdraw the draft law on criminal liability for non-submission of tax reporting on transactions with digital currencies
The adoption of the package of bills in its current form may lead to another wave of capital outflow from Russia
International consortium of news organizations developing transparency standards.
Commission on Blockchain Technologies and Cryptoeconomics Calls on Government to Dialogue with Business on Crypto Regulation
The Commission on Blockchain Technologies and Cryptoeconomics of the all-Russian public organization “Investment Russia” sent to the Ministry of Finance of the Russian Federation responses to a package of draft laws on taxation of digital currencies. They provide a detailed rationale for the proposal to amend the package of bills supplementing Federal Law 259-FZ “On digital financial assets and digital currencies” from a legal point of view and the position of sustainable development of the digital economy in Russia.
This initiative was prepared with the participation of the law firm Digital Rights Center.
The Commission proposes not to grant the FTS the authority to determine the market price of digital currencies for subsequent taxation, taking into account the possible abuse of this right; revoke the draft law on criminal liability for failure to provide tax reporting on transactions with digital currencies; reduce administrative fines for violating the rules for conducting transactions with digital financial assets and digital currencies, as well as introduce a new Federal law that will regulate the circulation of digital currencies and digital currency.
According to the members of the Commission, the adoption of the package of draft laws in their current form may lead to another wave of capital outflow from the Russian Federation to jurisdictions with more favorable regulation of the circulation of digital currencies..
The Commission includes the largest representatives of the cryptoindustry (Binance, EXMO, CoinBene Russia, OKEx, Bingbon, Veros FP, Colibri Group, Xangle, Coindar), representatives of public (Roskomsvoboda) and expert organizations (Expert Council on the Digital Economy and Blockchain technologies under the Committee of the State Duma of the Federal Assembly of the Russian Federation for Economic Policy, Industry, Innovative Development and Entrepreneurship “,” Expert Council on Economics and Entrepreneurship of the Youth Parliament under the State Duma of the Federal Assembly of the Russian Federation “), as well as legal experts in the field of international regulation of digital assets circulation (Digital Rights Center).
Nikolay Gadzhiev, Chairman of the Commission:
– The work of the Commission, formed from representatives of the largest international IT companies and specialized specialists, is extremely important to create a balanced regulatory and legal framework for the formation of a truly sustainable digital economy in the Russian Federation. The activities of the Commission, based on the international expert experience of the participants, in cooperation with government agencies will help to correctly integrate the blockchain technology and projects based on it in the Russian Federation.
Our Commission includes specialists of various profiles who work in the field of digital assets, such as the creators of the blockchain business, lawyers who help them, and public figures who protect the rights of ordinary owners of digital assets, therefore our proposals take into account the interests of all citizens and business representatives who may touch on the new regulation in the field of the digital economy in the Russian Federation.
Mikhail Tretyak, Head of IP / IT Practice at Digital Rights Center:
– The biggest drawbacks of the discussed legislative initiatives are both an attempt to introduce completely inadequate criminal liability for simple failure to provide tax reporting on transactions with digital currencies, and significantly inflated fines for certain actions with digital financial assets. In fact, all bills are aimed not at some kind of adequate regulation and development of a legal position, taking into account the interests of the industry, but at reducing the interest of Russians in working with digital currencies and digital financial assets and introducing taxation on what was previously not taxed.
For this reason, the Commission considered it important to send its expert feedback on these bills..
Maria Stankevich, Director of Business Development and Communications, EXMO:
– Given the tremendous experience of EXMO and similar platforms in completing compliance procedures in foreign banks and registration in foreign jurisdictions, where legislation on regulating the circulation of digital assets has existed for a relatively long time, we believe that we can make a significant contribution to the development of legislative initiatives in Russia with taking into account the best world practices.
Russia Looks to ‘Tighten Control’ over Crypto Traders with New Tax
The Russian market is one of the most active in the world, so we very much hope that the regulator will take the side of citizens and provide an opportunity to work in an adequately regulated field..
James Junwu Kim, Head of Security at Xangle:
– Rules for the digital asset market are needed in order to control the market and prevent problems amid the ongoing global adaptation of cryptocurrencies. However, it is difficult for legislators to develop adequate regulation on their own, and their work immediately has a huge impact on the market, and its results are extremely difficult to revise after any changes..
The tasks of the Commission, among other things, are both the development of adequate regulation and the creation of a self-regulatory organization, whose members accurately understand the market situation, can easily find the best possible solutions, and contribute to the development of the industry as a whole. Xangle, being one of the experts in assessing the financial component in digital projects, observes the formation of the digital economy in Russia and cannot fail to note that when approaching regulation, conditions must be created for the formation of a friendly ecosystem for blockchain technologies with the obligatory use of international experience. including lessons learned from trial and error.
Sarkis Darbinyan, Lead Lawyer, Roskomsvoboda:
– Such initiatives create an atmosphere of fear in society and, as a result, can only lead to the fact that crypto enthusiasts and professionals in this field will be extremely cautious about taking any actions with cryptocurrencies, if they do not stop doing them at all. If we create bad conditions for the development of crypto projects, then it is obvious that they will go to more comfortable jurisdictions, where the tax rate is significantly lower, the legal system is much more stable, and where you can not be afraid to talk about how many digital currencies you have left in your wallet..
Ksenia Oshurko, business development manager at OKEkh:
– We are very positive about the market opportunities in Russia and are ready to make our significant contribution to its development. We sincerely hope that the legislative measures taken in the field of working with digital assets will also stimulate economic growth in this area..
In our opinion, clear, transparent legislation, the main goal of which is not to restrict freedom, but to create conditions for productive work and growth, is absolutely necessary. That is why we consider it necessary to take into account the opinion and position of direct market participants, people who have extensive experience in working with digital assets in various jurisdictions around the world..
Nikolay Anikin, consultant of the Federal Tax Service of the Russian Federation for commercial equipment at Colibri Group / ARPA:
How To Avoid Tax On Bitcoin and Cryptocurrency…Legally – Tax Avoidance 🛑 Hurry 2 Days Left UK!!!🛑
– When the issue of effective regulation arises, it is important to take into account not only the existing practices and expert experience of industry specialists. It is much more important to take into account the consequences that can affect the entire industry and all its participants if even minor mistakes and shortcomings are made in the regulatory development process..
The bill No. 259-FZ, which comes into force in January, “On digital financial assets” is in itself incorrect and will definitely have a negative impact on the industry, and in addition it was decided to supplement it with the bills under discussion. For this reason, when developing feedback on them, the Commission was guided by the most advanced practices and took into account many factors in order to finally enter into dialogue with legislators..
Jan Khavansky, Coindar / Bingbon:
– According to the latest research, Russians are among the most active users of digital assets in the world. A huge number of Russian citizens are involved in the digital economy, whose interests will be significantly affected after the adoption of the discussed bills.
In the form in which they exist now, the draft laws, in principle, do not meet the current market requirements and rather harm than protect the interests of the state and Russians, and the direct consequence of the adoption of this draft law will be capital outflow from Russia. The purpose of the Commission is to unite direct market participants who see the situation from the inside and convey the above information to government agencies.
Dmitry Sheludko, CEO of CoinBene Russia:
– The CoinBene exchange is interested in its development in various countries of the world, including Russia. Adequate regulation of the digital economy on the territory of the Russian Federation will allow this market to develop in a legal manner and on legal grounds, which will attract not only internal participants of this market, but also companies from the CIS countries and other countries..
We see examples all over the world when loyal regulation of promising sectors of the economy pushed the entire economies of countries forward and gave a huge inflow of investments and foreign capital aimed at developing both a specific sector and related areas. Both the cryptocurrency market and the blockchain market are very promising sectors that can provide a significant inflow of investments and a contribution to the overall economy of the Russian Federation..
For this reason, the representative office of the CoinBene exchange in Russia takes an active position in relation to the process of regulating the cryptocurrency market..
David Lolaev, founder of the business development agency SalAd Lab:
– For the past few years, Russia has remained aloof from direct legislative regulation of activities in the field of digital assets and cryptocurrencies, and only in 2020 adopted a number of legislative initiatives for the first time. The global trend aimed at digitalization and the development of IT technologies, supported today by a number of states, has reached the asset market, offering a reboot of almost the entire established model created by centralized sources.
The next trend is likely to be the process of digitalization and tokenization of various types of assets. A set of proposals, developed by experts of the Commission on Blockchain Technologies and Cryptoeconomics, indicates the points necessary for consideration, the correct interpretation and adoption of which will help accelerate the development of the technological foundation of blockchain and IT technologies in the territory of the Russian Federation.
Gleb Kostarev, Director of Binance Russia:
– The market for digital financial assets and digital currencies is focused on a global audience, and since it is an advanced sector, and its development is very rapid, regulation in many countries is still at an early stage. As a result, all parties want regulation that will actively promote innovation and an open market.
The Binance digital platform is actively working with many regulators around the world to positively influence rules that will benefit regulation of the digital financial assets industry. We are confident that the collective experience and expertise of representatives of global financial digital platforms is necessary to develop and implement a regulatory and legal framework that will contribute to the basis for the formation of a sustainable market in the Russian Federation..
All information contained on our website is published in good faith and objectivity, and for informational purposes only. The reader is solely responsible for any actions he takes based on the information received on our website..
8 Countries That Don’t Tax Bitcoin Gains
CONTENTS Russia has been trying to pass a law on cryptocurrencies since 2018 The contradictory position of various departments impedes the process Russia may find itself in …
CONTENTS Experts have diverged on the future of regulation Laws may change more than once The future of the digital asset market in the Russian Federation remains …
CONTENTS Regulators did not immediately recognize the benefits of the digital ruble What will be the national digital currency of the Russian Federation is still unknown The pandemic has accelerated work on …
CONTENTS Russia is moving towards the digitalization of the economy and the integration of cryptocurrencies into banking services Russians can now pay utility bills in …
CONTENT Online stores are not yet interested in accepting cryptocurrency Crypto processing solutions will make crypto a means of payment …