The regulation crypto exchange and crypto news show that Russia’s Federal Security Service (FSB) which is the successor of KGB, agreed with the central bank of the country that cryptocurrencies should not be allowed as means of payments on the territory of Russia, according to a local portal. Reports show that Russia decides to outlaw crypto and sees if it is even possible to ban cryptocurrencies like Bitcoin as payment options.
Before the consensus, the FSB was confused about whether it was even possible to do this. The two departments have argued about how to regulate digital currencies. While the Bank of Russia has been firm on its position that everything related to cryptos should be banned, the FSB was open to legalization and endorsed a new regulatory framework that would favor the miners.
According to a letter from the Deputy Prime Minister Dmitry Chernyshenko seen by the Russian portal Baza (sent to Vladimir Putin) the two agencies have finally come to a compromise.
“A decision was made following a meeting in the government to establish a ban on the issuance and use of cryptocurrencies as a means of payment,” the letter read.
In the same letter, Chernyshenko said that the FSB insisted that some of the crypto-related proposals should be included in Russia’s bill on digital financial assets, which is very likely to pass through the parliament this spring. If this occurs, we can see how Russia decides to ban cryptocurrencies.
But before that, the FSB wants to identify all crypto owners in the country. For failure to comply with the upcoming law, the FSB is going to impose administrative and even criminal liability.
While the FSB and the Bank of Russia reached an agreement on how to regulate crypto, the two departments would not concede on their intentions to independently influence the regulatory process. So far, the bank has not responded to the FSB proposals.
What’s also interesting in the altcoin news is that a BBC investigation from earlier this month showed that the FSB could be behind the disappearance of $450 million worth of crypto from an exchange platform.
Meanwhile, the action on the market is the same and the market cap is at $280 billion while BTC’s dominance is at 62.9%.
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