On August 31st Bitcoin ATM provider, BBFpro, announced the news that all 22 of their Bitcoin ATMs operating in Russia have been confiscated with out any warning or explanation. BBFpro CEO Artem Bedarev told RBC that the order to seize the ATMs were given by Russia’s Prosecutor General’s office and it would take at least 6 months of inspections before the ATMs would be returned.
The Russian Bank stated regarding the matter that regulators are holding a nation wide crack down on illegal activities in the cryptocurrency market. Crypto-related companies and services are being scrutinized over tax standings and KYC/AML processes. BBFpro have stated they have fully complied with all legislative requirements so there is no reason for the recent confiscation.
There is no ban on the purchase of cryptocurrency in the current legislation. The company complies with all the procedures established by law, it pays taxes, and even identifies users despite the absence of such mandatory requirements.
-BBFpro legal representative, Sarkis Darbinyan
Russia’s Federal Financial Monitoring Services plan on developing a system to track down connected cryptocurrency wallets to individual users and organizations.