Vladislav Martynov: Cryptocurrency regulation laws in Russia are stillborn

The founder of the BlockGeeks platform and adviser to the Ethereum Foundation, Vladislav Martynov, believes that the recently proposed amendments to the legislation on digital assets are doomed to fail and pursue goals that are far from encouraging innovation.

The authors of the draft law on the legalization of cryptocurrency mining in Russia actually proposed to ban the circulation of digital currencies in the country, limit the widespread use of cryptocurrency services and advertising. On the sidelines of the Balance crypto forum, where Vladislav Martynov acted as a moderator and speaker, the creator of BlockGeeks on Thursday, December 15, shared his opinion on the bill with Bits.Media.

According to the entrepreneur, the likelihood that the bill to ban the wide circulation of cryptocurrencies will be adopted is high – the authors want to legalize only mining and, it seems, allow the use of digital currencies in the legal field only for settlements on export-import transactions, that is, on the foreign market. But inside the country, something like this, according to the text of the amendments, should not be expected.. Maybe, says Martynov, the authorities will open a couple of completely state-controlled cryptocurrency exchanges, and that’s it.. However, this is not so important, since the laws do not work.

“Look at the CFA platforms, how many players are there? In fact, those who created them are themselves users. And the idea is that there should be a massive penetration of technology. It doesn't happen. The original idea of tokenization platforms is for a large number of people or startups to come and start creating their own tokens.. As a result, three clients came in two years, and then they were large state corporations or some other companies, ”the adviser of the Ethereum Foundation shares his thoughts.

As a result, it turns out, says the entrepreneur, that the law on digital assets does not work even on the lower threshold, not to mention the original goal of stimulating the development of an innovative industry. The current purpose of the amendments, Martynov believes, is one: to collect taxes. It is only unclear – if both the amendments on the legalization of mining and the amendments on the ban on the circulation of cryptocurrencies are adopted, then how will the miners exchange their cryptocurrencies for rubles?. Most likely, a certain centralized state-regulated trading platform will be created, where miners will be able to exchange their assets for rubles and pay taxes from this.

Earlier, the Executive Director of Indefi bank, Sergey Mendeleev, said in an interview with Bits.Media that foreign cryptocurrency exchanges are highly likely to be blocked in Russia.