Russian President Vladimir Putin has signed the law regulating transactions in digital financial assets. It will enter into force on 1 January 2021 and stipulates that these digital currencies cannot be used as a means of payment for goods and services in Russia.

The law provides a definition of digital currency:

"A set of electronic data capable of being accepted as means of payment and as investments, not being the monetary unit of the Russian Federation or a foreign state. Digital financial assets are digital rights that include cash receivables, the ability to exercise rights in negotiable securities, rights to participate in the equity of a non-public joint stock company and the right to request the transfer of securities ”.

The activity of cryptocurrency operators will be monitored by the Bank of Russia

According to the provisions, the Bank of Russia is the institution that will maintain the register of digital financial asset exchange operators. It will also have the role of supervising the activity of cryptocurrency operators.

Anatoly Aksakov, head of the State Duma's Financial Markets Committee, told TASS news agency that more detailed regulation of cryptocurrencies will be included in a separate bill. It will most likely be introduced in the autumn session.