The Russian Ministry of Finance has formed new amendments to the country’s cryptocurrency standard. The message outlines a new set of concepts for crypto owners, dealing, and miners, as well as penalties for undeclared crypto proceedings.

Russia’s New Crypto Regulation

Russia’s Ministry of Finance has conceived new amendments to the country’s accumulation of digital financial assets that will go into the conclusion in January, Russian interest newspaper RBC reported Thursday.

Cryptocurrency owners, both several organizations, will be required to report their crypto transactions and wallet position to the tax authority if the intact transaction quantity excels 600,000 rubles ($7,757) in a calendar year, the message details. This is an important gain from the ministry’s proposal in September that needed taxpayers with a total dealing of 100,000 rubles to report their transactions and holdings to the tax authority. The first news point will be on April 30, 2022.

The new proposal also requires cryptocurrency exchanges and miners to supply information on their cryptocurrency proceedings to Rosfinmonitoring, the Federal Financial Monitoring Service.

Failing to let on data to the tax authorities twice in three years or on purpose render false information is a criminal offense, the publication said. For taxpayers with crypto transactions valuable 45 million rubles or more in two of the past three years, the proposed punishments consider a fine ranging from 500,000 rubles to 2 million rubles, affected labor of up to five years, and punishment for a period of between 18 months and three years.

Pursuing the announcement, the finance ministry processed that the regulation is essential to prevent the banned use of cryptocurrencies. The use of digital currencies is growing each year. Often this occurs not only for investment intention but also for money laundering, the ministry’s press service celebrated.

Russian President Vladimir Putin subscribed to the bill on digital financial assets into law in July which will go into outcome in January. It is a legitimate cryptocurrency but disallows its use for payments of great services. Government officials will also be needed to announce if they have any cryptocurrencies, reported to Russian Prosecutor General Igor Krasnov. Interim, the country’s central bank, the Bank of Russia, has disclosed its plans to build and test a central bank digital currency, the digital ruble.

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