Russia’s recent bill “on digital financial assets” does not make it illegal to be in possession of cryptocurrencies but there is another bill on the way that is likely going to include it.
The bill on cryptocurrency regulation did not come with any penalty but another reading will take place tomorrow.
The legislative arm of the country called the State Duma said there will be another reading of the bill “On Digital Financial Assets” (DFA) tomorrow, July 21.
In Russia, a bill remains a draft seeking to be adopted until it has been read three times. During the second reading, amendments and proposals are put in place and then it is adopted in the third reading.
It was intentional by the State Duma to exclude penalties
In the draft presented on July 20, there is nothing like punishments for the illegal use of cryptocurrencies in Russia.
RIA Novosti news agency got the information from a legislator known as Anatoly Aksakov. He confirmed that the body wasn’t going to include penalties in the bill when he said “This bill will not include liability.”
Aksakov expressed hope that the DFA bill will be passed this month and become a law from Jan 1, 2021.
Another bill may include penalties
Before this recent DFA bill, there was one which proposed punishments for the illegal use of cryptocurrencies. Legislators recommended fines of up to $30,000 plus a prison term of 7 years for illegal turnover and giving crypto unlawfully.
The DFA is just one of the several bills the legislative body is looking at to form rules and guidelines for Russia’s crypto environment. There is another one called “On Digital Currency” (DC). Aksakov mentioned that the main bill for regulating the use of cryptocurrencies is the DC bill while the DFA bill is meant to educate the masses on the meaning of important terms such as “digital asset.”
Aksakov said the DC bill will likely be passed between September and December this year.
Russia has a history of delaying the passage of bills for the crypto industry. The DFA, for instance, was first proposed in January 2018 and was postponed severally even though President Vladimir Putin gave orders for its adoption. One of the reasons why this has lingered till now is the COVID-19 pandemic.