Russian Public Officials Have Until April to Sell Their Cryptocurrency Holdings

Several weeks after signing legislation that required Russian officials to disclose their crypto holdings, the world’s largest country by landmass has gone a step further by prohibiting them from owning any digital assets. 

• The Ministry of Labor and Social Protection of the Russian Federation has sent a letter to civil servants regarding their cryptocurrency holdings, according to Forklog coverage. It reads that such officials have until April 1st, 2021, to get rid of their digital asset investments:

• “Officials are obliged to dispose of digital financial assets issued in information systems organized in accordance with foreign law, as well as digital currency, regardless of the country of issue.”

• Apart from prohibiting civil servants from owning such assets, the letter also forbids officials from using them in any way, including as payment options.
• This decision comes shortly after President Vladimir Putin signed a decree dictating that country officials had to disclose information regarding their cryptocurrency investments. Those included the name of the assets that belong to them, their spouses, and minor children.
• Russia already has a somewhat controversial history with trying to regulate or even outlaw cryptocurrencies. Previous reports indicated that the nation considered hefty penalties and imprisonment for holding bitcoin above certain thresholds. 
• The government rejected these propositions, and the new Prime Minister vowed to lead cryptocurrency usage in a “civilized direction.”
• Despite these setbacks, though, a recent report outlined that bitcoin is more attractive to Russian citizens than numerous other investment options, including gold.