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Russian Bitcoin Issuers Will Risk 7 Years In Prison (thestack.com)
An anonymous reader writes: The Russian Ministry of Finance has announced an amendment to the country's criminal code which will impose prison sentences of up to seven years for the issuing of Bitcoin or other cryptocurrencies. A government source speaking to Interfax (Russian) said that the maximum prison sentence for individuals found issuing cryptocurrencies would be 2-4 years, and/or up to three years' worth of salary or income, whilst managers of dispensing institutions could face seven years in prison, up to four years of income equivalent in fines, and a lifetime ban from similar posts. Russia announced the ban on Bitcoin or other 'money surrogates' in February of 2014, asserting that cryptocurrencies facilitate money-laundering and other criminal activity.
You dirty commoners get to stew while our economy craters!
The bank robs you.
What will Edward Snowden say?
It looks like they are basically making it illegal to sell bitcoin for money within Russia. I can't imagine any legitimate businesses will accept the hassle, but hackers will likely still be able to exchange bitcoin for money overseas. Personally, I think the large delays in accepting bitcoin transfers is probably more harmful to its value as a currency, and this would likely not help any. If I held any bitcoin, I would sell them now before they reach firesale value.
Let's see: There's an award given for information leading to anyone using the TOR network. And now a prison sentence for anyone issuing a form of currency that can hide your identity. What's next, outlawing hoodies so the IP Cams can ID you on the Russian Equivalent of Facebook?
"Imagination is more important than knowledge" - Einstein
Russia announced the ban on Bitcoin or other 'money surrogates' in February of 2014, asserting that cryptocurrencies facilitate money-laundering and other criminal activity.
I believe that was mistranslated. I think it should actually read that cryptocurrencies don't facilitate the graft and money grabbing of Putin and his friends. Sure, I might be nitpicking on a little error of translation, but it's important to get things right.
The only thing necessary for evil to triumph is for it to be pitted against a slightly greater evil
That's the whole point! Untraceable, unaccountable, easily-hidden money. The cops can't find it on you by checking your pockets; the FBI can't find it by checking your bank account; and the individual block chains tend to flow in and out of exchanges with no association to who is putting them in or taking them out. Bitcoin exchanges are money laundering operations as a feature: bitcoins go into a consolidated fund, and the same number of bitcoins come back out of that consolidated fund; they're different block chains, so their block history is not traceable to any particular original owner.
It's like they just wrote the mission statement of Bitcoin and said "ILLEGAL!"
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"Russia announced the ban on Bitcoin or other 'money surrogates' in February of 2014, asserting that cryptocurrencies facilitates public competition to the government's own money-laundering and other criminal activity while making it more difficult for the government to interfere with legitimate private economic activity."
FTFY.
"Inveniemus Viam Aut Faciemus" 'We will find a way... Or we will make one!' --Hannibal of Carthage
Of COURSE the meglomaniaical batshit insane Putin would ban Bitcoin...that would undermine the 10s of billions he stole from the Russian Economy and doled out to his lackeys, hangers-on and family, not to mention the dozens of 'male massage therapists' he has to pay to keep quiet about the fun-times in the Kremlin.
about the laws made by man to control man. It has always been this way and it will ALWAYS be this way now and in the future. Pass all the laws you want.
I'm really curious what Max Keiser (a big bitcoin evangelizer and RT propagandist) has to say about it. That is, if his head has not exploded already.
..This just in! The Russian Ministry of Logic declared the following: Russia announced the ban on currency other 'money surrogates' in March of 2016, asserting that all currencies facilitate money-laundering and other criminal activity. *not an actual announcement*
Governments (this time it's Russia) cannot allow competition on criminal activity. Governments are the only ones with the 'legal' (legal in quotes, anything governments do they see as legal) authority to any form of criminal activity. All that governments are is criminal activity. No individual is allowed to murder another individual, to steal, to kidnap. Governments do all those things and it's legal because they say it is.
I am going to translate some of the text from here:
Moscow, March 10th, INTERFAX.RU
Ministry of Finance has prepared a more strict set of rules that will be added to the criminal code. These rules will apply to issuance of fiat currencies (in TFA they call it 'currency surrogates'). Anybody issuing a 'currency surrogate' can be sent to prison for up to 4 years. For any top managers of banks or financial organisations the prison sentence can be up to 7 years and also a prohibition to work in certain top management positions in the future.
The previous version of the law was less strict in that it only would have sent a person to prison for up to 1 year maximum (or if somebody is a part to an organisation up to 2 years maximum) for any one of the following:
1. purchasing with the intent to sell,
2. selling of 'money surrogates'
According to the March rule changes, now for the same 'offence' the punishment will include a monetary fine of up to 500,000 rubles or an amount equal to the 3 years of salary or 3 years of any other income of the 'offender' or imprisonment of up to 4 years.
In case an individual acts as part of an organisation the prison sentence went up to 4 years. Also for an organisation (organized group) there is also a fine starting from 500,000 rubles up to 1,000,000 rubles or an amount equal to 2 - 4 years or salary or other income and a prison sentence of up to 6 years.
Also for top managers of a financial institution, a bank, an insurance company, a stock market, etc.), the penalties will be much heavier. They will face up to 7 years in prison and they will no longer be allowed to work in top management positions in certain companies (and government I suppose) and they will not be allowed to work in certain professions for a period of up to 3 years. They also may face a fine from 1,000,000 to 2,500,000 rubles or an amount equal to 2-4 years of their income.
Ministry of Finance considers usage of 'money surrogates' to be a proof of criminal activity by definition and by default.
You can't handle the truth.
the bit coins you!
by TheSpoom (715771) Uncaring Linux user here. I have nothing to add to this but please continue. *munches popcorn*
Wouldn't that include any form of barter or trade that did not involve the government sanctioned currency?
This would mean even playing games that use fictional currency would be illegal, wouldn't it?
File under 'M' for 'Manic ranting'
Russian users just got hit with their first ransomware attack?
You WILL use the ruble, no matter HOW much we devalue it.
If you hold say 10,000 rubles, and the State prints a bunch of money, or hammers the economy by idiot politics or decisions or corruption, and your rouble is now worth half as much, you've just lost 5,000 roubles.
What people want to do of course when the currency they hold is abused, is use a different currency.
What the State has to do is absolutely block them from doing so, because of course it strikes at the very heart of the State's ability to control the economy and taxation.
There is a long and fine history of States passing draconian laws, enforcing hideous penalties, on people who wish to use something other than the currency they are forced to use by the State.
It's all about power, wealth and theft.
I always use Tide when I launder my money. http://nymag.com/news/features...
Leaves it with a nice fresh scent too!
Minimum threshold fixed. Thanks!
Given that the majority of bitcoin users are drug addicts, drug dealers, and pedophiles, it makes sense that Russia is taking this move.
This is a symptom of the sort of authoritarian shit that "pussy riot" was jailed for protesting against and has nothing much to do with bitcoin itself. Bitcoin is not seen as something ideal people do so it's being outlawed for being on the fringe - it really has nothing to do with whether bitcoin is a scam or not.
It's a symptom of increased efforts to control.
I should add that we should not dismiss it as being an "only in Russia" problem since a tendency to authoritarian rule crops up all over the place. Think of it as "that could be us too if we are not careful" next time the TSA squeeze your balls. It's a difference of degree of control so things could get as bad as in Russia.
Seriously. There comes a time when a government just effectively openly declares:
"I am insane and megalomaniacal. Just ignore me and go full black market libertarian."
The Russian government apparently just did this.
Where are we going and why are we in a handbasket?
Seems I read the other day that another Russian was found to have died from blunt force injury during a stay in a DC hotel. Maybe they ran out of Polonium, an element that comes from nuclear reactors, or Polonium poisoning would have been too slow to kill the guy. Stay tuned for more news.