Russia wants to label bitcoin as foreign currency

First they wanted to ban bitcoin. Now, Russian authorities were mulling a new option for the digital currency’s status in the country—label it as foreign currency.

It’s popular knowledge that Russia, particularly the Ministry of Finance of the Russian Federation, is hell bent on outlawing digital currency and anyone who deals in it in the country. But there is a new report indicating that the finance ministry is softening its stance against cryptocurrency.

According to Russian-language Ria.ru, the government now wants to equate digital currencies like bitcoin to foreign currency. This means that the use of bitcoin in the country will still be prohibited, but users can buy the popular virtual currency through exchange platforms and spend it in other countries.

Deputy Finance Minister Alexey Moiseev clarified that the government is still push for the bill that will punish those who use bitcoins and other cryptocurrency in Russia, telling the Rossiyskaya Gazeta: “According to the Constitution… the only ruble issuer [in the country] is the Bank of Russia. Thus, issuing any other currency is illegal.”