New Russian Mining Bill Permits Cross-Border Crypto Payments

New Russian Mining Bill Permits Cross-Border Crypto Payments

A new bill to regulate the mining of digital coins in Russia will also legalize the use of cryptocurrencies in international settlements. It has been submitted to the Russian parliament after an earlier bill was rejected as it provided for the legalization of domestic crypto payments.

Russian Residents and Businesses to Pay with Crypto Abroad

Russian lawmakers will review a new legislative proposal for the legalization of cryptocurrency mining, which has seen significant growth over the past few years. The Chairman of the Parliamentary Financial Market Committee, Anatoly Aksakov, announced the filing of the bill on Sputnik radio. He then explained that the new bill authorizes the use of cryptocurrencies as a means of payment for international settlements.

"We have introduced a bill that legalizes the mining and circulation of cryptocurrencies. But cryptocurrencies can only be used as a means of payment outside the country, in foreign jurisdictions," Aksakov said, as per RBC Crypto. The digital assets may also be used to pay for parallel imports, he added.

"This is a step that speaks of a new direction in the development of financial markets in our country."

Sanction pressures have increased support for the idea of permitting cross-border crypto payments, but most government institutions in Moscow remain opposed to the legalization of payments with bitcoin and the like inside the Russian Federation. The earlier mining bill, which was put forward by the liberal New People faction, was rejected as it provided for the legalization of domestic crypto payments.

The latest draft bill was announced last week by Anton Gorelkin, Deputy Chairman of the Committee on Information Policy at the State Duma, the Lower House of Parliament, and a member of the ruling Conservative United Russia party. He noted that it was a more elaborate document, reflecting the opinions of the Bank of Russia and the Ministry of Finance.

Gorelkin added that the federal law "On Mining in the Russian Federation" does not threaten the status of the Russian ruble as the only legal tender and creates the basis for the development of the crypto infrastructure. After months of deliberation, Russian lawmakers are also expected to review a bill "On Digital Currency" to regulate the crypto market over the prevailing law "On Digital Financial Assets."