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Russia may permit companies to attract cryptocurrency investments

18 July 2017 21:00, UTC

According to Vedomosti, the interagency working group assessing cryptocurrency circulation risks at the Russian State Duma discusses possible amendments to the Russian civil legislation that would allow companies to attract investments in cryptocurrencies.

Working group Leader, Professor of MGIMO university  Elina Sidorenko, amendments would be appropriate only when a law on digital currencies is passed.

Adopting such amendments will allow Russian companies to make ICO, the fundraising that allow investors receive tokens, special “coins” for which one can buy products of a company that organizes ICO in exchange for invested cryptocurrency.

Elina Sidorenko noted that despite ICO growing popularity around the world, there is no separate law regulating their activity but the legislation of certain countries, for example, Singapore, permits its investors to accept cryptocurrencies.

According to the expert, in order to secure the both parties of a transaction during the ICO, it is necessary to identify users who purchase tokens, verify contracts and also think over mechanisms regulating token purchase with cryptocurrency and exchange of fiat money for digital currencies.

Chairman of the Russian State Duma Commission for Financial Markets Anatoly Aksakov has also expressed his opinion on cryptocurrencies and ICO. The deputy considers ICO as a potential source of fraud and does not trust the ICO as an important source of investments. Also he suggests introducing the income tax for participants of cryptocurrency transactions.