Crypto Exchanges Must Share User Data With Russia, Prosecutor General Demands
The Russian Prosecutor General has insisted that digital asset exchanges be required to provide user information to the country's law enforcement agencies. The course of digital currencies in the Russian Organization should be managed to counter tax evasion, the authority added.
Cryptocurrency Exchanges Have to Report to Russian Authorities, Chief Prosecutor Says
According to Igor Krasnov, the head of the country's Prosecutor General's Office, crypto service providers should be required to register in Russia, and exchanges should be required to share information about their users with Russian security services.
He also thinks that fighting the legalization of criminal proceeds requires more than just giving cryptocurrencies property status under Russian law. In order to address the difficulties posed by their illicit use, Krasnov called for their regulation.
The top prosecutor went on to explain that the difficult geopolitical situation raises the risk of exploiting digital asset vulnerabilities, as reported in the magazine "Financial Security," which is published by Rosfinmonitoring, Russia's financial watchdog.
Igor Krasnov also advocated for including cryptocurrencies in Russian criminal law, recognizing that they can be the target of criminal activity and encroachment, and establishing procedures for the state to seize, store, and take away cryptocurrencies.
In Russia, lawmakers and other officials are still debating their strategy, crypto assets and related transactions have not yet been fully regulated. While legalizing some activities like mining, payments in cross-border settlements, and trading under special legal regimes, the majority of government institutions favor a restrictive regime that prevents their free circulation.
The State Duma, Russia's lower house of parliament, is still considering a crypto mining bill. Last month, it was reported that lawmakers are considering imposing criminal penalties on miners who fail to report their digital asset holdings to the government and avoid paying taxes.
The proposal, which came from the finance ministry, sparked a response from the Russian crypto industry association, which demanded clarification and warned that Russia may fall behind other nations if it maintains its stringent approach to crypto regulations.
Do you think Russia will oblige cryptocurrency exchanges to register and provide user data to law enforcement authorities? Tell me in the comments section below.
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