General rules in Russia The Russian government has not taken a firm stand on digital currencies. Even Russian politicians have issued statements imposing a total ban on these currencies, which were later denied. On March 7, 2018, Russian President Vladimir Putin called to clarify the legal status of digital currencies in the country as soon as possible. Following this order, the bill was introduced and drafted by the government. However, its acceptance has not been officially announced yet. The bill welcomes the sale and purchase of digital currency in reputable exchange offices. It considers digital currency tools as digital financial assets traded only in the context of authorized exchange offices. Also, according to the bill, users of digital currency exchanges are required to comply with anti-money laundering laws and regulations related to counterterrorism. The purpose of the published document was to minimize the risks in digital currencies and prevent using these currencies as much as possible for criminal activities.
In 2017, several rumours about developing a national digital currency in Russia called "crypto ruble." Still, the Russian authorities later denied it, and the country currently has no official digital currency.
On May 24, 2018, the Savings Bank of the Russian Federation (Sberbank) and the Central Bank of Russia announced their plans to implement a pilot ICO. On November 2, 2018, the chairman of the Russian State Committee on Financial Markets announced that it intends to launch a state-owned digital currency backed by the Russian ruble. Russia's Ministry of Economic (MinFin) believes that creating a digital currency backed by the Eurasian Economic Union (EAEU) will be inevitable due to US sanctions. One of the major Russian news media outlets, Rambler, reflected the views of the Russian Ministry of Economy on December 21, 2018. Russia's Deputy Economy Minister Alexei Moysev said that at the discretion of the Russian Ministry of Economy, there is an excellent opportunity by 2020 or 2021 to launch a digital currency supported by the Eurasian Economic Union (EAEU). The Eurasian Union was founded in 2014 and had five members: Belarus, Kazakhstan, Russia, Armenia and Kyrgyzstan. In Russia, the extraction of digital currencies is not prohibited under certain conditions.

## The timing of digital currency legislation in Russia
In 2017 has prompted a flurry of news about the development of a national digital currency in Russia called the crypto-ruble but was later denied by Russian officials, who currently have no official digital currency. On March 7, 2018, Russian President Vladimir Putin called to clarify the legal status of digital currencies in the country as soon as possible. Following this order, the bill was introduced and drafted by the government. However, its acceptance has not been officially announced yet. On May 24, 2018, the Savings Bank of the Russian Federation (Sberbank) and the Central Bank of Russia announced their plans to implement a pilot ICO. On November 2, 2018, the chairman of the Russian State Committee on Financial Markets announced that it intends to launch a state-owned digital currency backed by the Russian ruble. On December 21, 2018, Russian Deputy Minister of Economy Alexei Movisyev stated that at the discretion of the Russian Ministry of Economy, there is an excellent opportunity by 2020 or 2021 to launch a digital currency supported by the Eurasian Economic Union (EAEU).

Definition and approach of the government

Russia is one of the countries with no clear and direct rules on digital currencies and their use. However, Chinese officials have repeatedly spoken of the need to use the Chinese bloc and even the supply of particular currency by the Chinese government. There are no unified rules for the Chinese bloc. The decision-making body in the field of financial systems in Russia is the Ministry of Economy. For several years now, the attention of this authority has been drawn to digital currencies, but so far, no serious decision has been made to legislate these currencies in Russia. Russia's central bank has warned of the dangers of digital currency exchanges and their links to fraud and money laundering. Many draft bills have also been prepared by the Duma, which is still awaiting approval. Therefore, it can be said that there is not much transparency in the legal aspects of digital currencies in Russia. The Russian government refers to digital currencies as "digital currencies" and is seriously pursuing legislation in ICOs, tokens, blockchain, and digital currencies.

Sales rules

Under Russian law, digital assets can only be exchanged for common currencies (rubles or other countries' currencies). To supply the tokens, the distributor must submit the necessary forms to the judicial authorities; Relevant documents must also be made available to the public upon completion of the tokens. The project's WhitePaper will also be made available to the public and legislators for review.

Tax collection

There are no specific laws regarding the taxation of digital currencies in Russia, but the Russian government applies general tax laws. The tax will also be based on the value of digital currencies in Russian rubles and include income tax. The payer is also required to submit a statement of income to the relevant authorities.

Anti-money laundering laws

The Russian government has previously warned its citizens against using digital currencies in money laundering. However, there are no laws for money laundering with digital currencies in this country.

Use and advertisement

So far, we have seen several pilot programs by the Russian government in digital currencies and the development of blockchain technology in China. On the other hand, the government is closely monitoring the digital currency market. In 2015, we witnessed creating a particular working group by the Russian government to study China's blockchain technology aspects. In 2016, Qiwi, an electronic payment service provider, CIS and several private banks in Russia, worked with Chinese central banks on Chinese blockchain projects. Also, in 2017, the President of Russia ordered the government and the Central Bank of Russia, by creating the necessary legal mechanism and framework, to create space for the use of economic innovations based on the Chinese bloc. Plans have been put forward to apply China Blockchain technology in real estate, verification information and payment data.
Maintain and obtain the necessary permits
The draft bill submitted to the Russian parliament sets out specific rules for holding digital currencies. According to the bill, the maintenance of digital currencies is not limited and is based on user access to capital. Accordingly, a decentralized system must meet the following conditions: a) Verify that the individual and only the individual can access specific codes or assets. B) Make it possible for a person to access his information at any time and place. The bill also included a section entitled "Investment Platform." This section states An information system in the context of the Internet that uses information technology and technical capabilities to attract investors. Only institutions under the supervision of the Central Bank of Russia can create such platforms. This law restricts investors who have not obtained the necessary approvals; These restrictions are enacted under the Securities Act. The determining body will be in the competence of investors of the Central Bank of Russia.

Mining

Mining is referred to in the draft law as "ex-digital verification." According to this law, an extraction is an act in which records are digitally verified to obtain digital currencies as a reward. This digital verification must be following the rules of digital transactions. Mining activities will also include tax collection.

Overseas restrictions

There are currently no such restrictions in Russia.
The need for reporting
There is currently no need to report digital currency assets in Russia. Asset reporting laws are in place to combat money laundering and are based on money laundering laws. Still, it is not yet clear whether digital currencies are recognized as assets by the government.