{"id":3522,"date":"2022-04-20T11:42:06","date_gmt":"2022-04-20T11:42:06","guid":{"rendered":"http:\/\/cryptoheretostay.com\/?p=3522"},"modified":"2022-04-20T11:42:07","modified_gmt":"2022-04-20T11:42:07","slug":"russian-bankers-suggest-criminalizing-crypto-storage-in-non-custodial-wallets","status":"publish","type":"post","link":"https:\/\/cryptoheretostay.com\/?p=3522","title":{"rendered":"Russian Bankers Suggest Criminalizing Crypto Storage in Non-Custodial Wallets"},"content":{"rendered":"<p> <script type=\"text\/javascript\">\r\namzn_assoc_placement = \"adunit0\";\r\namzn_assoc_tracking_id = \"totafreearti-20\";\r\namzn_assoc_ad_mode = \"search\";\r\namzn_assoc_ad_type = \"smart\";\r\namzn_assoc_marketplace = \"amazon\";\r\namzn_assoc_region = \"US\";\r\namzn_assoc_default_search_phrase = \"crypto\";\r\namzn_assoc_default_category = \"All\";\r\namzn_assoc_search_bar = \"false\";\r\namzn_assoc_title = \"\";\r\namzn_assoc_rows =\"1\";\r\n<\/script>\r\n<script src=\"\/\/z-na.amazon-adsystem.com\/widgets\/onejs?MarketPlace=US\"><\/script><br \/>\n<\/p>\n<p><strong>Keeping cryptocurrencies in non-custodial wallets may be criminalized in Russia, if authorities accept a proposal from the trade association representing Russian banks. While financial regulators think the idea deserves attention, lawmakers and experts doubt it\u2019s possible to implement such a measure. <\/strong><\/p>\n<h2>Russian Banks Move to Curb Use of Private Cryptocurrency Wallets<\/h2>\n<p>Challenges with foreclosure and seizure of crypto assets held by debtors and criminals have motivated the Association of Banks of Russia (ABR) to suggest introducing criminal liability for storing coins in non-custodial wallets, the organization\u2019s Vice President Anatoly Kozlachkov told Izvestia this week.<\/p>\n<p>ABR\u2019s initial proposal, made with the advisory assistance of the Russian Ministry of Internal Affairs, was to criminalize the undeclared storing of cryptocurrency in such wallets. The association is now leaning towards targeting refusals to provide the wallet keys when requested by authorized bodies, Kozlachkov said.<\/p>\n<p>The ABR remarks that it is not referring to digital assets in wallets provided by crypto exchanges, which are de facto controlled by these platforms similar to bank deposits, but wallets controlled directly by the users.<\/p>\n<p>When the relevant authorities establish a connection between a debtor and a cryptocurrency wallet, for example, the person may be given a choice \u2014 to either share their keys or risk penalties for hiding property in the form of digital assets.<\/p>\n<p>Besides preventing capital outflow through crypto, the bankers say their approach would help to create \u201ca closed circuit for the circulation of cryptocurrencies\u201d in Russia. According to the ABR, this would be impossible without an effective foreclosure mechanism for non-custodial cryptocurrencies.<\/p>\n<p>In mid-April, the ABR sent its regulatory concept to the Central Bank of Russia, the Ministry of Finance, and Rosfinmonitoring, Russia\u2019s financial watchdog. Rosfinmonitoring told Izvestia that it deserves attention and the finance ministry was ready to consider it. Bank of Russia declined to comment.<\/p>\n<p>Meanwhile, the idea has been met with criticism from lawmakers and representatives of the crypto industry in the expert council at the parliamentary working group tasked to develop comprehensive crypto regulations. Andrey Lugovoy, the group\u2019s deputy chairman, said he understood ABR\u2019s concerns but warned the move would hinder the legalization of the crypto market.<\/p>\n<p>Experts interviewed by Izvestia were also skeptical. According to Roman Yankovsky, deputy dean of the Faculty of Law at the Higher School of Economics, a leading Russian university, it\u2019s unrealistic to identify the non-custodial wallets of ordinary citizens and seizing them would be difficult, if not impossible.<\/p>\n<p>Andrey Gusev, managing partner of the Nordic Star law firm, considers the introduction of criminal liability for owning such wallets unnecessary and says that tax incentives and administrative fines should be enough to dissuade Russian crypto holders from using or hiding them.<\/p>\n<p>Criminalizing non-custodial wallets is \u201cfundamentally wrong,\u201d thinks Maxim Bashkatov, head of the Legal Development Department of the Center for Strategic Research. He points out that right now it\u2019s unsafe for Russians to store cryptocurrency on exchanges because of the risk of asset freezes as a result of western sanctions imposed over the war in Ukraine.<\/p>\n<p>Tags in this story<\/p>\n<p>association, Bankers, banks, concept, Criminal Liability, criminalization, Crypto, crypto assets, crypto wallets, Cryptocurrencies, Cryptocurrency, idea, Non Custodial, non-custodial wallets, proposal, Regulation, Regulations, Russia, russian, Wallets<\/p>\n<p><em><strong>Do you think Russia will criminalize holding crypto assets in non-custodial wallets? Share your expectations in the comments section below. <\/strong><\/em><\/p>\n<p>Lubomir Tassev <\/p>\n<p class=\"article__body__author__info__about\">\nLubomir Tassev is a journalist from tech-savvy Eastern Europe who likes Hitchens\u2019s quote: \u201cBeing a writer is what I am, rather than what I do.\u201d Besides crypto, blockchain and fintech, international politics and economics are two other sources of inspiration.<\/p>\n<p><i class=\"td-icon-font td-icon-mail-1\"\/><\/p>\n<p class=\"images_credits\"><em>Image Credits: Shutterstock, Pixabay, Wiki Commons<\/em><\/p>\n<p><strong>Disclaimer<\/strong>: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.<\/p>\n<p>More Popular NewsIn Case You Missed It<\/p>\n<p><script type=\"text\/javascript\">\r\namzn_assoc_placement = \"adunit0\";\r\namzn_assoc_tracking_id = \"totafreearti-20\";\r\namzn_assoc_ad_mode = \"search\";\r\namzn_assoc_ad_type = \"smart\";\r\namzn_assoc_marketplace = \"amazon\";\r\namzn_assoc_region = \"US\";\r\namzn_assoc_default_search_phrase = \"bitcoin\";\r\namzn_assoc_default_category = \"All\";\r\namzn_assoc_search_bar = \"false\";\r\namzn_assoc_title = \"\";\r\namzn_assoc_rows =\"1\";\r\n<\/script>\r\n<script src=\"\/\/z-na.amazon-adsystem.com\/widgets\/onejs?MarketPlace=US\"><\/script><br \/>\n<br \/><a href=\"https:\/\/news.bitcoin.com\/russian-bankers-suggest-criminalizing-crypto-storage-in-non-custodial-wallets\/\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Keeping cryptocurrencies in non-custodial wallets may be criminalized in Russia, if authorities accept a proposal from the trade association representing Russian banks. While financial regulators think the idea deserves attention, lawmakers and experts doubt it\u2019s possible to implement such a measure. Russian Banks Move to Curb Use of Private Cryptocurrency Wallets Challenges with foreclosure and [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":3523,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_wp_rev_ctl_limit":""},"categories":[1],"tags":[],"class_list":["post-3522","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-crypto-updates"],"_links":{"self":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/3522","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=3522"}],"version-history":[{"count":1,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/3522\/revisions"}],"predecessor-version":[{"id":3524,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/3522\/revisions\/3524"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/media\/3523"}],"wp:attachment":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=3522"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=3522"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=3522"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}