A recent court case in Russia has helped showcase the authorities change in attitude towards crypto use in Russia. Bestchange.ru–a web-based portal that seeks to help traders locate the best trading options for their crypto-based assets has been allowed to resume operations. This comes after prosecutors were unable to block it from operating, even after citing the regulations already in place.
Prosecutors Drop Bid to Block Bestchange.ru
Following the new stance taken by the prosecutors, Roskomnadoz, the telecom watchdog in Russia now has no option but to remove the website from its ban list. This follows a decision by the Court of Appeal to accept the decision made by the Prosecutors’ Office.
The office, located in Omsk, chose to retract its earlier request to have this website stopped from operating.
According to the statement that was released by the office, the decision was taken after reviewing some of the new provisions that have been included in Russian laws.
Amendments and Provisions to the Civil Code
The new provisions seek to legalize cryptocurrencies including major digital assets such as Bitcoin. A copy of the statement posted on various social media platforms states that:
“Prosecutors have come to this conclusion after carefully assessing the details of two bills, which have been drafted with the sole purpose of helping to regulate the cryptocurrency industry.”
The first bill will seek to amend the Russian Civil Code to ensure that it includes terms related to cryptocurrencies such as smart contracts and digital rights. The amendments into the civil code were adopted earlier this year during their third reading at a seating held in Duma.
Duma is the parliaments’ lower house. However, it is important to note that these amendments will not go into effect until October.
The second bill that was mentioned by the prosecutors deals with Digital Financial Assets. The law was introduced in May of last year, before being edited and postponed several times. It is expected that the law will be adopted in spring of this year.
New Terms Being Considered
Some of the terms that have been added and deleted several times from the text include terms such as mining and cryptocurrency. The platform in question—Bestchange.ru has been banned a few times, the first time being in 2017.
It was initially blacklisted after the District Court in Oktyabrsky decided to have it blocked alongside other forty platforms. It is, however, worth noting that not all of the attempts to take the website down have had any form of success. This is because the website has continued to run its operations as normal.
According to Nikita Zuborev, the PR and Marketing Manager: the company has employed numerous technical techniques to help it circumvent the blockade. In many cases, the users have not been able to notice any interruption in our operations during all this time.
The latest blockade was imposed in March this year. The blockade was issued by a Regional Court in Omsk. It imposed the ban after determining that digital assets represented a money surrogate in the country, and as such, disseminating any crypto-related information in Russia was illegal.