According to reports, the Russian Ministry of Labor prohibits government officials from owning and using cryptocurrency. Officials were also ordered to dispose of any cryptocurrency in their possession by April.

Russia bans government officials from holding or using cryptocurrencies

The Ministry of Labor and Social Protection of the Russian Federation issued a letter informing civil servants that they must clear any cryptocurrency they hold before April 1.

The letter said: “Officials are obliged to dispose of digital financial assets and digital currencies issued in the information systems of foreign legal organizations, regardless of the country of issue.” The news media described:

The letter also stipulates that civil servants are prohibited from owning and using these types of assets.

The letter specifies the people affected by the new law, especially those holding government or state positions, employees of the Central Bank of the Russian Federation, employees of certain types of organizations and their ownership as of January 1, 2021.

Russian President Vladimir Putin (Vladimir Putin) signed a decree on December 10, 2020, requiring government officials and applicants for related positions to declare any cryptocurrency or assets owned by them, their spouses and minor children. Token. The first disclosure must be submitted between January 1 and June 30 this year. According to the publication, there is no need to report on digital financial assets and digital currency acquisitions in 2020.

The “Digital Financial Assets Law” came into effect in Russia on January 1. The law recognizes cryptocurrency as property, but prohibits its use for payment. At the beginning of December last year, a draft law on the taxation of cryptocurrency business was submitted to the State Duma.

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What do you think of Russia’s prohibition of government officials from using cryptocurrency? Let us know in the comments section below.

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