The updated regulation in Russia includes cryptocurrencies in the list of assets that candidates must report to the state.
Candidates for government positions in Russia are now expected to provide information about crypto funds they have acquired in other jurisdictions to authorities. A recent decree signed by Vladimir Putin adds to an earlier presidential decree the requirement for the verification of filed statements on the property and property-related liabilities of Russian officials abroad.
The amendments, which went into effect immediately after the new decree was signed on May 9, affect not only those who run in federal and regional elections but also their close relatives. Their families will now have to account for all of their cryptocurrency investments.
The new provisions apply to any expenditure for the purchase of digital financial assets, a term that includes cryptocurrencies and digital currency under current Russian law. The latter definition will be implemented through a new law proposed by the Ministry of Finance.
The submitted information will be verified by the relevant Russian authorities. To do so, they will require documentation indicating the value of the crypto assets purchased. Affected Russian citizens and their relatives will also have to share the specifics of each transaction, such as the date and other identifiers.
Moscow officials have been working to comprehensively regulate the country’s crypto space. because many aspects remained outside the scope of the law “On Digital Financial Assets,” which went into effect in January 2021. These include the legal status of cryptocurrencies such as bitcoin, as well as associated activities such as trading and mining.
In late March, the Russian parliament passed legislation requiring candidates for public office to disclose information about their digital asset holdings within Russia. The bill amends several acts and affects presidential and parliamentary candidates, as well as other government officials. In April, Putin signed it into law.
The most recent presidential decree is aimed at candidates for state and municipal offices. According to an announcement published by Russia’s legal information portal, it also includes representatives of political parties who have been nominated for the highest positions in any of the constituent entities of the Russian Federation.