(Kitco News) It is just a matter of time before Russia will legalize cryptocurrencies as a means of payment, said Industry and Trade Minister Denis Manturov.
"The question is, when this happens, how it will be regulated, now that the central bank and government are actively working on it," Manturov stated during an education event titled 'New Horizons.'" But everyone tends to understand that ... sooner or later this will be implemented, in some format or other."
The comment was in response to whether cryptocurrencies could be legalized as a form of payment in Russia.
Manturov's reply that the Russian government and its central bank are working closely on this matter sheds some light on the previous disagreement the two bodies had around crypto. The Industry and Trade minister also clarified that Russia's central bank would have to be the first to formulate crypto regulations, followed by the Russian government.
Right before Russia invaded Ukraine in February, there was a heated dispute around crypto regulation as the finance ministry submitted proposals that contradicted the central bank's push for a complete ban.
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Earlier, Russia's central bank proposed to ban crypto trading and mining, citing financial stability risks.
The finance ministry had a contradictory view on the matter, which led to Russian President Vladimir Putin urging authorities to come to some consensus.
According to the government, Russian investments in cryptocurrencies represent around $5 billion worth of transactions a year.
In February, Finance Minister Anton Siluanov told Russian state media that a bill on crypto regulation could be passed as soon as this year. "I hope that, in the best-case scenario, it could be passed in the spring session," Siluanov said.
