Russian crypto ban proposal sees another wave of criticism

The situation regarding digital currencies in Russia remains quite controversial, especially since March of this year, when the country’s lawmakers introduced a new bill. The bill threatens to prohibit cryptocurrency transactions in Russia. In fact, any operations involving digital currencies would be forbidden.

Of course, owning cryptos would still be allowed, although it remains unclear what the coin owner might do with their cryptos.

Since the bill’s publication, it was heavily criticized by the cryptocurrency community, which was to be expected. However, the community was quickly joined by several government organizations.

The first of them was the Russian Ministry of Economic Development, who spoke negatively about it last week. Now, even the country’s Ministry of Justice criticized it, stating that it is inconsistent.

Crypto bill banning transactions remains highly inconsistent

The bill suggests that cryptos can be owned, but not used. It also says that digital currencies can be seized, provided that there is a court warrant that would allow it. However, the Ministry once again pointed out that the seized coins would be unusable, as crypto operations would be prohibited by the law.

Most countries that confiscate cryptocurrencies from criminals tend to sell them at auctions. However, this will not be possible if the bill ends up making all crypto transactions on the territory of the country illegal.

For now, the comments were sent back to the Digital Economy, which will continue to work on the proposal. Meanwhile, the bill’s sponsor, Anatoly Aksakov, stated that, while this part of the bill still requires work, another one regarding digital securities, is complete, and ready for the final hearing.