Victor Ugochukwu · Dec 14, 2020 . 5min read
Russia Bans Anonymous Wallet and Travel Cards Transfers
Russia's new law will affect about 10 million users who patronize these wallet service providers.
By Victor Ugochukwu · Aug 4, 2020 . 4min read
The Russian government in a move to curb terrorism-related money laundering bans anonymous wallets and travel cards transfers.
In a Russian news website report, it outlines wallets affected. These wallets include Yandex.Money service, QIWI-Wallet WebMoney, PayPal, VK Pay and other similar systems. Subsequently, users will no longer be able to deposit cash to their accounts anonymously.
Still in the report, this new law will affect about 10 million users who patronize these wallet service providers. Apparently, with this development, for users to continue with the service they need to identify themselves and link a bank account to the wallet. Consequently, the Russian government has phased out the era of adopting payment terminals and offices of mobile operators.
From all indication, one out of every two Moscow resident has an e-wallet and will be most hit by this development. Even though Russia’s ban on anonymous wallet transfers does not focus on cryptocurrencies, it will still have some form of impact on it. Some of them use their e-wallets to buy cryptocurrencies.
Russia federation is not mainly a beacon of democratic ideals. This is especially true when you look at how it treats dissidents and opposition figures. One of Putin’s archrival, Navalny since 2016 has raised up to 648 BTC as his wallet shows. Apparently the government has made a move to jail offenders who transacted in cryptocurrencies. Consequently, Putin signed into law a bill that makes using cryptocurrencies’ payment as illegal.
Summarily, 13% of Russia’s 144 million citizens who use cryptocurrency for online purchases according to a poll are already affected. Russia banning anonymous wallet transfers means e-wallet service providers must comply or face the consequences.