Russian Legal Reforms Could Impact Bitcoin Traders, Warns Lawyer
On May 2, the Russian government submitted amendments to the State Duma, intensifying penalties for “drops” under Article 187 of the Russian Criminal Code. The potential for broad interpretation of these proposed regulations, if enacted, poses a threat to cryptocurrency traders. This was stated by Ignat Likhunov, founder of the legal agency Cartesius, during the “Podcast Society” on ForkLog’s YouTube channel.
He explained that the legislator’s goal is to combat drops. The new bill outlines specific conditions for criminal liability for individuals who transfer electronic payment means to others, including bank cards, for conducting illegal operations.
“Illegal operations, as noted in the commentary, involve the transfer, issuance, or receipt of money without grounds provided by law, other legal acts, or agreements,” the lawyer noted.
According to him, while previously in Russia there was liability for carders who forged payment orders of accountants and wrote malicious software, now it is being introduced for transferring a card “from Vasya to Petya.”
“Since law enforcers like to interpret laws very broadly, to their advantage, this provides a lot of room for abuse, although it will be an effective way to combat conditional dropping,” Likhunov warned.
According to the bill’s provisions, it proposes introducing criminal liability of up to three years for drops, and up to six years for drop facilitators and traders.
The lawyer reminded that many Russian citizens require cryptocurrencies due to sanctions and the political situation.
“The question is: will a transaction involving the sale of cryptocurrency itself fall under [illegal operation]? If so, then everyone could be jailed. In detention centers, drug addicts will be replaced by drops and cryptocurrency traders,” Likhunov stated.
He added that since 2022, he has personally refrained from card transfers when selling digital assets, opting exclusively for cash.
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