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A new study has shown that courts in Russia are adjudicating more and more cases involving crypto assets. About two-thirds of them have been introduced under the provisions of the National Criminal Code. Civil cases also account for a large proportion.
Nearly 1000 crypto-related criminal cases in Russia by 2021
Lawsuits involving cryptocurrencies, digital asset exchanges and minting coins have increased seriously in Russia throughout the last year. The study, conducted by cybersecurity firm RTM Group, recorded a total of 1,531 incidents.
The majority of these, 954 cases were handled under the terms of the Russian Criminal Code.
The rest are civil cases, of which nearly 10% (141) are bankrupt, and 5% (71) are administrative cases.
, in particular, cryptocurrencies often appear in criminal cases related to drug trafficking. 738 such cases were filed last year. The people behind the transactions want their payments to be anonymous.
Besides, there are other criminal proceedings such as illegal money laundering using digital currencies.
The majority of civil disputes are related to cryptocurrencies.
Claims against illicit enrichment through cryptocurrency transactions account for the majority of civil law disputes (42 cases). Common disputes are when a person transfers money to a third party to buy cryptocurrencies but then receives a smaller amount than expected or by agreement.
Meanwhile, the number of bankruptcies related to cryptocurrency ownership has doubled by 2021.
In these proceedings, the Russian judicial authorities consider crypto assets as assets and the parties are required to provide documents proving they own the currency.
disputes The use of unauthorized electricity to mine cryptocurrencies is considered a civil violation in Russia. During the inspection, Russians operating underground mining facilities paid 61.5 million rubles (more than $1.1 million at current exchange rates) in nine such cases.
In preparation for its report, RTM analyzed the published conduct of the jointly competent courts and arbitral tribunals as well as information obtained from official correspondence of different departments. The results of the study will emerge as authorities in Moscow continue to debate the legal status of cryptocurrencies in Russia.
