As we speak Russia is currently in the process of writing a new Bitcoin law.
They are seeking to regulate locally, the trading in Bitcoin as well as all other virtual currencies.
That is a startlingly u-turn from where the country was just a few years ago when they were considering making it illegal to own Bitcoins.
Some details...
The Central Bank of Russia is in the process of preparing legislation focused on regulating and taxing digital currencies.
Nothing is set in stone at this point but reports coming out of the region are saying that the legislation could be introduced as soon as next month and digital currencies could start being regulated as soon as 2018.
The plan is for Russia to officially recognize virtual currencies as digital goods, making them taxable in the same manner. The legislation will also unveil how the government will regulate and monitor the domestic markets.
Why is this startling?
Just a few years ago, in 2014, Russia was strongly considering making it illegal to own or hold bitcoins. The offense was punishable by jail time.
The sudden change of heart comes as the country is finding out what everyone else is finding out, digital currencies are here to stay.
Instead of fighting a losing battle, they have switched sides and decided they better get in front of this thing while they still can.
The increasing popularity of Bitcoin locally and world wide has really forced their hand.
Bitcoin transactions in Rubles:
There has been a pretty strong increase in demand from the region regardless of the government's stance.
What does this all mean for the price of Bitcoin and the altcoins?
That one is a little more murky...
On first glance broader adoption by a country as large as Russia would have to be good news for the entire space. Plus it likely signals that more countries are likely to join the party. Especially if Russia was so against legalizing it just a few short years ago.
However, one thing to keep in mind here is the regulation aspect.
One of the appeals of virtual currencies is their lack of regulation. If Russia shows that they can regulate the markets efficiently and effectively, it could possibly start a trend where other countries go that route as well.
Don't get me wrong, a worldwide regulated currency likely trades much higher than it is currently trading, but it also loses some of it's luster in the eyes of some of it's strongest supporters.
All that being said, lets not forget what Bitcoin has done ever since Japan decided to legalize the currency:
We will see how things eventually unfold, but it seems like this is an important step in eventually getting Bitcoin and cryptocurrencies to be recognized globally as an official means of exchange. Which, in turn, would likely be beneficial to us all.
Now, we just have to figure out how to make sure Steem is one of those that gains a footing as well.
Stay Steeming my friends!
Sources:
http://www.coindesk.com/russias-central-bank-writing-new-bitcoin-law/
https://www.cryptocoinsnews.com/russias-central-bank-could-tax-bitcoin-deem-it-a-digital-commodity/
Image Sources:
https://medium.com/@abarisser/bitcoiners-buying-lunar-real-estate-anticipating-moon-29bbcdf51469
https://news.bitcoin.com/russia-central-bank-proposal-bitcoins-digital-goods/
http://www.zerohedge.com/news/2017-05-20/bitcoin-soars-above-2000-first-time-ever?page=2
