Cryptocurrency exchange Binance intends to launch the Binance Card debit card in Russia, despite the CFA law prohibiting payments with cryptocurrencies in the country.
The law “On Digital Financial Assets (DFA) and Digital Currency” was signed by Russian President Vladimir Putin in July and will come into force on January 1, 2021. According to the law, it will be prohibited in Russia to pay with cryptocurrencies for goods and services, as well as to disseminate information about the acceptance of digital currencies as payment.
However, according to Gleb Kostarev, head of Binance’s operations department in Russia and the CIS, Binance’s mission is to provide users all over the world with the same experience, while fully complying with local laws.
“Russia is a very important market for Binance. We are working hard to launch the Binance Card in Russia. However, we cannot name the exact date of the card’s release in this country, nor can we give any legal comments on this issue, ”he said.
According to Kostarev, the current version of the CFA law “does not cover all aspects of cryptocurrency regulation.” Nevertheless, further amendments to the law, proposed by the RF Ministry of Finance, may negatively affect the exchange’s activities in Russia. They imply the introduction of a fine of up to 1 million rubles and imprisonment for up to 7 years for operations with cryptocurrencies.
As a reminder, Binance introduced its own Binance Card debit card back in March. In July, this card became available in the European Economic Area (EEA) with support for BTC, BNB and SXP (domestic Swipe and Binance tokens), as well as the BUSD stablecoin. Binance’s management plans to roll out the card in 200 countries.