Due to unregulated bitcoin in the ATMs in Russia, the lawmaking body stepped in to take serious decisions. The law enforcement officials carried out seizing and confiscating measures of ATMs in the nine states of Russia. The ATM that was occupied by the regulatory body was present in shops and restaurants.
TAll the ATM or the automated teller machines that were present in shops and eating places in nine states of Russia were taken away and seized by the police officials. The confiscated devices were functioning under Bbfpro that was responsible for upholding a network of bitcoin ATMs all over Russia. This information regarding Bbfpro was given to the news source RBC by a lawyer Sarkis Darbinyan who strives to denote the interest of the company, Digital Rights Center.
TDRC works to give the organizations and company legal and digital assistance regarding bitcoin and blockchain.
TThe manager at Bbfpro, Artem Bedarev, became candid on Russian media and explicitly asserted that his company was not warned nor received any prior notice about the seizure of the ATMs. He told the news source that the only thing he was informed that the investigation after the confiscation of ATMs would take around six months. During this period, the automated teller machines will not be resumed by the company.
TOne of the members of police or law enforcement official who took part in the seizing operation on Friday told the news source that the confiscation was ordered from the Prosecutor General Office by the appeal filed by the Central bank of Russia.
TThe CBR chose to stay silent on disclosing any information regarding the seizure of bitcoin ATMs and just passed a comment that this action was necessary to ensure that the country has a regulatory framework of money transfers and transactions. He sheds light upon the dangers of lack of regulation that paved the way for illicit crypto activities and schemes in the form of unmonitored cross-border funds transfer.However, the Prosecutor office and the Ministry of Interior chose to maintain their silence on the seizure and investigation of Bitcoin ATMs.
TThe manager of Bbfpro claimed that the present lawmaking body in Russian Federation does not restrict the purchase of bitcoin. Furthermore, he also asserts that his company maintains and follows the legal framework in the paying taxes and performing identification procedures even though it is not a necessary measure. The law advisory at Bbfpro Company is at present seriously investigating the possible repercussions that the company will face after the seizure of bitcoin ATMs and will file a case against the operation in the court.
TThe company’s website shows that the company was indulged in the purchase or bitcoin core and other digital currencies. The company collaborates with Exmo that is well-known exchange center in Russia’s crypto space and offers technical assistance to the BBfpros ATMs functioning.
The seizure of the company’s ATM was bound to happen because the digital currencies and their activities are not regulated or legitimatized in Russia as yet.