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Russia gets crypto boost with appointment of new Prime Minister

The new Russian prime minister, Mikhail Mishustin, known to be a crypto enthusiast, has called on the country to prioritize the development of the digital economy. The former head of Russian tax services on his appointment as PM vowed to transform the modern blockchain-powered state for the benefit of Russians.

He said that Russia should implement modern information technologies and also develop a national digital economy program. The state should become a digital platform that is created for people, Mishustin said.

The new Russian prime minister, while serving as the head of Russian tax services, one of his most noted achievements was to stop fraud in VAT tax refunds, and reduce red tape, so companies are not being audited all the time. Reportedly, Mishustin is known as being tough on tax fraud, which is not easy in Russia, considering its wealthiest have been hiding money in Cyprus, the Caymans, and elsewhere since the fall of the Soviet Union when they first took money out in droves.

After being made the prime minister, Mishustin wants all operations with cryptocurrency to be taxed. I am convinced that it is necessary to tax such activities, and to assess any economic consequences of using cryptocurrencies correctly he said in an interview with RBC TV news network

Crypto history before the dawn of new Russian prime minister

In the past, Russia has not been very friendly with cryptocurrency as the country has treaded very softly in dealing with it. Recently, the state began testing stablecoin however, the governor of Russia’s central bank has overtime shown skepticism about crypto and said it would violate the financial sovereignty of central banks.

Russian president Vladimir Putin is also bitcoin skeptic and reportedly wanted cryptocurrency regulations in place. The regulations are part of the Digital Assets Regulation Bill, which is expected to set guidelines for cryptocurrency use in Russia.

Also, the Russian Ministry of Finance planned to introduce a law that will criminalize the use of cryptocurrencies as money substitutes in the country.

In 2017, the Russian government and central bank began a crackdown on cryptocurrencies. Sergei Shvetsov, the first deputy governor of Russia’s central bank, called Bitcoin a pyramid scheme. Putin, in his remarks, said cryptocurrencies were used by criminals to launder money and make illicit payments.

However, now a new crypto-centric political group has emerged in Russia, mainly from the large tech companies around the country. The group aims to find lasting solutions to the various constraints affecting the cryptocurrency industry in Russia. Among the issues to group wants to tackle are digital rights, anonymity, and user safety during crypto transactions.

Transforming Russia into a blockchain state

The newly delegated leader stated Russia would set out on a national movement to make a digitized economy dependent on blockchain and cryptocurrency. The executive repeated that the state ought to turn into a blockchain controlled stage for the advancement of Russian residents.

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Muhaimin Olowoporoku
Muhaimin is a journalist and a crypto enthusiast. He believes in the Africa project and sees blockchain technology as a possible solution alongside developmental journalism

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