Political candidates in Russia will be required to report the value of their crypto transactions over the last three years according to a new bill.
The State of Duma is the lower house of the Federal Assembly of Russia, and its members are called deputies. Earlier this week, Gosduma passed the first reading of a draft bill that will be included in Russia’s electoral legislation.
Besides reports on candidates’ financial holdings, for the first time, digital currency assets will have to be communicated as well. Information regarding their spouses’ and children’s crypto expenses will be required too.
The law doesn’t apply in all cases, but only when the total sum of these tradings exceeds the entire amount obtained by the candidate and his family in the last three years. Simultaneously, Russian politicians are also required to give details concerning the sources of the capital that was used to fund digital currency investments.
The new draft law amends two federal acts: the Law “On Electing the President of the Russian Federation” and the Law “On Electing Deputies of the State Duma.”
If a candidate gets elected in the future, he will also need to incorporate the information in his regular anti-corruption reports. Bill No. 1133046-7 has two more hearings to pass before being registered as a new law and will include those running for a position in the national parliament, municipal councils, and even presidential candidates.
This move shows that the Russian government is trying to regulate cryptocurrencies instead of banning them. In April deputy governor Alexei Zabotkin and first deputy governor Olga Skorobogatova of Russia’s central bank announced in a virtual press conference the intention of issuing a Central Bank Digital Currency (CBDC) within 2023.
A prototype of the digital ruble will be created by the end of 2021 and will be tested during 2022. After that, it will be decided how the implementation will happen the following year.
The bank will attempt to restrain non-cash transactions. This way the passage to the central bank digital currency will be easier and will probably balance the scarcity of liquidity when the digital currency will be launched.
Learn more about this at Bank of Russia planning its CBDC!