While Russia has not endorsed cryptocurrencies as yet, an endorsement by President Vladimir Putin for blockchain technology to be used by Russia to advance the country has put blockchain legislation on the forefront of lawmakers.
According to TASS, a Russian news agency, an outline for the legislation could be ready in the next few months.
The announcement was made by the Deputy Prime Minister who mentioned it whilst meeting with students at a Russian university.
The Deputy PM is quoted as stating:
It’s necessary to create a regulatory framework, not necessarily too detailed, not to limit the implementation of projects (too much). Do it as quickly as possible, we are doing it now. I hope that in the coming months, the legislative issues of blockchain will be (resolved).
While blockchain is usually associated with cryptocurrencies, the technology can be applied to many other use cases over multiple industries. In addition to benefits such as high-level security and unchangeable record keeping abilities, blockchain technology is allowing governments to create state-controlled cryptocurrencies such as the (very controversial) Petro of Venezuela. Russia has expressed an interest before in creating a CryptoRuble.
This is not the first interest Russia has shown in this technology, in fact in 2017 Masterchain, an Ethereum fork was created by Russia’s FinTech Association, which is headed by the Central Bank of Russia.
Other projects include the development of shared contracts for housing and construction projects as well as one to protect intellectual property.
It would seem that Russia is seeking to beat other countries to fully embracing the technology, be it to encourage technological development or to attract business to Russia. Time will tell how open Russia really is to innovation without limiting its application.
Do you think that Russia will become a leading authority on this technology? Comment below or via the social media buttons to continue the conversation!