Russia Advances Digital Asset Regulation with New Seizure Legislation

According to PANews, Russia is intensifying its efforts to regulate digital assets by planning legislation to streamline the seizure process. During the 13th St. Petersburg International Legal Forum, the Russian Ministry of Justice highlighted the impact of new technologies on crime and announced that the proposed law will clarify and expedite the procedures and considerations for confiscating digital assets. Deputy Minister of Justice Vadim Fedorov stated that the legislation will categorize digital assets as seizable property. Given the unique characteristics of certain digital currencies, the proposal includes special requirements, such as the confiscation of physical devices like hardware wallets that store keys for wallets used in criminal activities. Additionally, the law would require courts to issue transaction bans. Fedorov also mentioned that experts will be involved in the process to ensure the safe seizure of digital currencies and address victim compensation claims. However, he acknowledged the challenges posed by the decentralized nature of digital assets, which makes them attractive to criminals and difficult to physically seize. The measures primarily target local threats posed by cryptocurrency-related criminal activities.