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31 Dec 2014
Russian ministry criticises draft bill banning Bitcoin – CoinDesk
FXStreet (Barcelona) - The CoinDesk Analysis Team shares that the Russian ministry has criticised a proposed bill to ban “cash equivalents”, which includes digital currencies as well, further noting that this is not the first time that Bitcoin has derived support from Russia’s financial sector.
Key Quotes
“Russia's Ministry of Economic Development has criticised a proposed ban on "cash equivalents", according to a report. The ministry said that legislation aimed at banning cash equivalents, including digital currencies like bitcoin, could have negative effects on retailers, telecom operators and banks.”
“Specifically, some provisions of the bill could create excessive restrictions and obligations, creating unreasonable costs for businesses, it said. The ministry therefore asked that the bill be reworked and resubmitted for further consideration.”
“The bill in question was drafted earlier this year by the Russian Ministry of Finance, and would prevent the issuance of digital currencies and all operations involving digital currencies – effectively placing a ban on the fledgling technology.”
“This is not the first time Russia’s financial sector has spoken out in favour of digital currency technology. In July, the Bank of Russia argued that digital currencies should not be rejected. Deputy chairman Georgy Luntovsky said that, while there was evidence of bitcoin use in criminal circles, the bank would not seek “harsh measures” against its use.”
Key Quotes
“Russia's Ministry of Economic Development has criticised a proposed ban on "cash equivalents", according to a report. The ministry said that legislation aimed at banning cash equivalents, including digital currencies like bitcoin, could have negative effects on retailers, telecom operators and banks.”
“Specifically, some provisions of the bill could create excessive restrictions and obligations, creating unreasonable costs for businesses, it said. The ministry therefore asked that the bill be reworked and resubmitted for further consideration.”
“The bill in question was drafted earlier this year by the Russian Ministry of Finance, and would prevent the issuance of digital currencies and all operations involving digital currencies – effectively placing a ban on the fledgling technology.”
“This is not the first time Russia’s financial sector has spoken out in favour of digital currency technology. In July, the Bank of Russia argued that digital currencies should not be rejected. Deputy chairman Georgy Luntovsky said that, while there was evidence of bitcoin use in criminal circles, the bank would not seek “harsh measures” against its use.”