Key Takeaways
- A bill has been proposed in Russia that aims the introduction of the NFTs into the Civil Code of the Russian Federation.
- The law is supposedly introduced to protect the rights of Russian NFT Owners.
There has been a proposal filed by Russian legislators to introduce the term “non-fungible tokens” (NFTs) to Russian law. As of now, the concept of NFTs do not exist in the Russian legal field which is why the NFT owners handle these digital assets at their own risk.
“The rights of NFT owners must be respected and protected.” This concept of NFTs is not recognized in Russia, and transactions involving NFT tokens are undertaken at their own risk. While cryptocurrency has improved, NFT is not a cryptocurrency, but rather a digital proof of ownership. This is why we suggest regulating NFT intellectual property “, as reported by TASS.
TASS news agency reports that ‘’the effort aims to distinguish or basically introduce NFT tokens from fungible tokens of unique digital assets (pictures, movies, etc.). The training will be conducted through a blockchain system (distributed ledger).”
Russia’s attempts at Crypto Adoption
There was a new law enacted in January 2021 that defined digital financial assets (DFA). Now, this includes cryptocurrencies and tokens. The Finance Ministry submitted a new law on digital currency in February that is expected to pass this year.
According to the proposed bill, the use of cryptocurrencies as a payment instrument will remain banned on Russian territory but however, and digital currencies will only be considered an investment.
The bill says Russia would establish a special registry of exchanges and exchange offices capable of carrying out actions connected to organizing the circulation of digital currencies. Moreover, the government proposed creating a threshold for assessing investors’ capacity to invest in the cryptocurrency industry and segregating them accordingly.
The bill asked that cryptocurrency exchanges and other platforms that deal with digital currencies will be regulated in Russia. All cryptocurrency platforms must accept payments and withdrawals from traditional banks. The exchanges must also meet certain standards for corporate governance, data storage, and reporting.
Also read: Russia’s Chamber of Commerce Officials Urges Africa to Use Bitcoin For Payments
