New Russian Prime Minister: New crypto currency tax likely to be adopted this spring

Russian Prime Minister Mikhail Mishustin wants to implement crypto taxes in his home country.

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Mishustin: tax must be imposed on cryptocurrencies

In a recent interview, Mishustin, previously the director of the Russian tax office, said the country is likely to adopt a new crypto tax plan this spring. He says:

I strongly believe in the need to tax such operations and properly assess any economic consequences of using cryptocurrencies.

Many are excited about Mishustin's joining Russia's current tax regulator. In the past, he has tried to end VAT-related fraud and has pursued cases where individuals hid their money in Cyprus, the Cayman Islands, and other areas with very lax tax laws. Anti Danilevski – the founder of the Kick ecosystem and Kick Ex trading platform commented:

I think the arrival of the new prime minister, Mikhail Mishustin, has increased the possibility of further protection of cryptocurrency [investors] and businesses in Russia. Their job is vital.

For now, many people who invest in cryptocurrencies in Russia are not protected by current financial laws. The country does not consider cryptocurrencies to be effective, nor does it provide protection for those trying to get involved in cryptocurrencies. Therefore, whether it is the victims of the pull-up plan or the exchange hacking incident, they are on their own, and it is impossible to obtain police help or effective compensation.

But with the release of a new tax guide on cryptocurrencies, people trading digital currencies may get the same safety net as they get when trading through standard financial institutions.

Danilevski also believes that the tax plan will be good because it can bring cryptocurrencies into more legal and mainstream areas. He is confident that businesses will begin to change their views on cryptocurrencies and will start accepting digital assets such as Bitcoin and Ethereum as effective payment methods.

However, he is concerned about the so-called "tough guy" crypto fans who have been involved since the beginning and said that the entire industry should not include government agencies.

Elvira Nabiullina, the governor of the Russian Central Bank, is also studying stable currency technologies and wonders if it is possible for Russia's main institutions to release new "digital rubles" to the public in the coming months or years . A stable currency is a digital asset that is tied to a fiat currency (such as the US dollar, the Japanese yen, or the Euro) and can be used to resist volatility.

Is Russian stablecoin about to be issued?

Nabiullina explained:

We are testing stablecoins in a regulated “sandbox”. The sandbox includes companies that want to issue tokens backed by certain real assets … looking at how they work, but we don't know how they will be used as a payment method or alternative currency.