Russian Government, Central Bank ‘Come to Consensus on Crypto’

Russian government bodies, including the Ministry of Finance, the Central Bank, and Rosfinmonitoring, have reportedly reached a consensus on cryptocurrency regulation. This breakthrough could finally resolve the long-standing crypto impasse in Moscow and lead to the implementation of crypto regulations. Rosfinmonitoring, the country’s anti-money laundering agency, has called for fast-tracking crypto regulations following Russia’s downgrade in compliance rating by the Financial Action Task Force (FATF). The Ministry of Finance and the Central Bank, which have been in disagreement over crypto policy, have now agreed on an approach to regulating cryptocurrencies. The ministry aims to legalize industrial mining and allow Russian firms to utilize crypto as an international payment tool. Miners in Russia have petitioned the ministries to be included in an official register of licensed business activities. While there is some opposition within the government, there is interest from both the state and market participants in legalizing the industry. The Ministry of Finance has started drafting a bill to address crypto mining-related matters, following a failed attempt in 2022 due to opposition from the Central Bank. Despite the bank’s initial skepticism, it is now consulting with the ministry on the draft bill. The bill will cover topics such as how miners handle coins, with the Central Bank insisting that miners exchange their coins for fiat on overseas crypto trading platforms. However, law enforcement agencies have expressed concerns about potential money laundering. The Ministry of Finance hopes that the State Duma will consider the bill on cryptocurrency regulation in the current session. The ministry has previously stated that banning crypto mining would be pointless and has advocated for legalizing the industrial mining sector.