Russian Lawmaker Proposes Bitcoin Reserve to Improve Financial Stability

As a seasoned crypto investor with roots tracing back to the early days of Bitcoin, I find the recent proposal by Russian State Duma Deputy Anton Tkachev to create a strategic Bitcoin reserve intriguing and potentially game-changing. Having navigated through numerous market fluctuations and witnessed the rise and fall of various digital assets, I can attest that the resilience and potential of Bitcoin is undeniable.

Deputy Anton Tkachev from the Russian political party New People proposes establishing a strategic Bitcoin reserve as a means to bolster the nation’s financial resilience.

Reports from Moscow suggest that Tkachev has officially presented his proposal to the Finance Minister, Anton Siluanov.

Russia to Consider Plans for a Bitcoin Reserve?

In the proposal, Tkachev underscores the drawbacks of conventional currency reserves like the dollar, euro, and yuan, pointing out that they are vulnerable to inflation and international economic sanctions. He further proposes that a Bitcoin reserve could function as a self-reliant substitute, untouched by the control of any specific country.

“I’m requesting your opinion, Anton Germanovich, on the possibility of establishing a strategic Bitcoin reserve within Russia, similar to government-held reserves of traditional currencies. If you think this idea is viable, I would appreciate it if you could present it to the Russian Federation’s government for consideration.

It appears that Russia might be planning to take a more lenient approach towards cryptocurrency regulations. This change could stem from an upcoming shift in U.S. regulation following President Trump’s re-election on early November.

Putin is Optimizing Crypto Regulations

As a researcher delving into the world of finance and cryptocurrencies, I find it noteworthy to highlight a recent development in Russia’s regulatory landscape. Previously imposed value-added tax (VAT) on crypto transactions has been abolished. Instead, the revenue generated from crypto activities will now be categorized under personal income tax, similar to the taxation structure for securities, at a rate of 15%.

Previously this year, Russia made it legal for Bitcoin and cryptocurrency mining, signifying a major change in their regulatory approach. Yet, some regions still impose limitations on mining activities. Specifically, these activities are forbidden in territories under Ukrainian occupation such as Donetsk, Lugansk, Zaporizhia, and Kherson. Additionally, Siberia will have seasonal bans on mining from December 2023 to March 2031 to control energy consumption levels.

Worldwide, there’s growing interest in creating a national Bitcoin reserve. In the United States, Pennsylvania is leading the charge with a proposed bill that would set aside 10% of the state budget for Bitcoin. This move aims to protect against inflation and provide an opportunity for financial diversification.

There’s considerable enthusiasm that, following his inauguration in January, Donald Trump may contemplate creating a national Bitcoin reserve. Moreover, investment company VanEck has jumped on board with this movement, pushing for Bitcoin to be recognized as a potential reserve currency.

El Salvador is leading the way in this particular field. In 2021, the nation made a strategic move by setting up a Bitcoin reserve, and as of now, it boasts more than $554 million in Bitcoin holdings, with potential returns amounting to approximately 120%.

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2024-12-10 03:40