The Russian Government has shelved the bill created to punish Bitcoin use in the country. Administrative and criminal responsibilities related to Bitcoin were removed from the Digital Finance Asset Draft.
According to reports in the Russian media, the Digital Financial Assets Act (DFA) will be submitted to the Russian parliament for the second time on 21 July. “There will be no responsibility in this draft bill,” said Anatoly Aksakov, head of the parliament’s financial markets committee.
Fines and Prison Sentences for Bitcoin (BTC) Users
Anatoly Aksakov said there will be no obligations under the Digital Financial Assets Act (DFA). He also said that the idea of punishing Bitcoin investors with fines and imprisonment has been put aside for now. “They removed everything, just a sense that digital currency regulation will be determined in another law,” he added. The previous version of the bill offered fines or up to seven years’ imprisonment for those who purchased Bitcoin in cash. Also, according to the bill, companies that issued or operated cryptocurrencies up to two million rubles or about $ 28,000 would be punished without the approval of the Russian Central Bank.
The proposed law will come into force in January 2021
According to the first version of the bill, companies would have to pay a million rubles ($ 13,900) in case of violation of rules, individuals would have to pay at least 200,000 rubles ($ 2,800) if they violated the rule. Aksakov explained that the revised draft law, in its current form, addresses issues involving the definition of digital financial assets and, among other things, sets requirements for Blockchain operations. According to Aksakov, the proposed law will come into force on January 1, 2021.