Settlements on international transactions in cryptocurrency
A bill aimed at legalizing mining in international settlements is under consideration in the current session. Its purpose is to create a legal framework for the use of cryptocurrencies in foreign economic activity. One of the key aspects of the bill is to stimulate the development of domestic cryptocurrency mining by providing advantages when using exclusively internally mined cryptocurrency units in international financial transactions.
As part of the discussion of the bill, mechanisms for monitoring cryptocurrency transactions are also being actively discussed, including in order to prevent illegal activities and comply with anti-money laundering and terrorist financing requirements.
Earlier it became known that the Central Bank expresses interest in investing in cryptocurrency. However, there is a clear intention to maintain the status of cryptocurrencies not as a means of payment in the country. This position of the regulator is associated with a number of factors and risks that accompany cryptocurrency transactions and their use as a means of payment.
One of the main aspects taken into account by the Central Bank is the high volatility and instability of the cryptocurrency market. This means that investing in cryptocurrencies can be associated with high risks of losing investments due to sharp price fluctuations. There is also a risk of using cryptocurrencies for illegal transactions such as money laundering and terrorist financing, which can negatively affect the financial stability and security of the country.
In addition, cryptocurrencies such as Bitcoin, Ethereum and others do not yet have legal status as legal means of payment in many countries, including Russia. This means that they are not recognized as an official medium of exchange and cannot be used to carry out transactions in accordance with the legislation on payment systems.
Thus, the Central Bank may possibly allow investing in cryptocurrency, but at the same time remain wary of its role as a means of settlement in the country due to the risks and limitations associated with these assets.
At the same time, the tax aspects of using cryptocurrencies also remain in the spotlight of legislators. Amendments to the Tax Code are aimed at creating a transparent tax system for transactions with digital assets. They provide for the mandatory declaration of such transactions by tax residents of the country if the total volume of their transactions exceeds a certain threshold during the financial year. These measures are aimed at ensuring financial transparency and strengthening State control.