The uncertainties about the relationship Russia Bitcoin were finally disappeared.

In an official document published a few days ago on November 29th Russia’s federal tax service expressed its new position regarding the legality of Bitcoin use and transactions.

In fact, the document finally explained that there is no legal prohibition of digital currencies in Russia.

Russia Bitcoin and uncertainty

For almost three years it was not clear if the Russian authorities wanted to ban or accept Bitcoin and introduce several penalties.

Somewhere during this period, the Russian ministry of finance commented about the possibility of a four years imprisonment introduction for people involved in the Bitcoin use.

Also, even bank officials sentenced to seven years in prison and banned from holding certain positions.

However, Russian authorities changed their idea and gave the ministry of finance a new directive to write a law on Bitcoin.

For Russia Bitcoin is a foreign currency

The federal tax service’s document affirms the legality of Bitcoin and indicates that all trading operations related to Bitcoin and any other digital currency are to be considered as foreign and external securities.

In fact, this document essentially defines the buying and selling of Bitcoin and other cryptocurrencies a monetary transaction.

Bitcoin for Money laundering and terrorism

However, the document also explained that Russian authorities will investigate about people who use Bitcoin for money laundering and terrorism.

Even if this calls for KYC and AML from exchanges is yet to be clarified by the Russian government as there are more interpretations that are yet to be communicated.

Source: Coindesk.com

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