Russia’s New Prime Minister, Mikhail Mishustin has called for priority development of digital economy

By Dorothy On Jan 18, 2020

Russian President Vladimir Putin nominated Mishustin after the latter caused the entire government to retire in an effort to make room for big constitutional changes. On January 16, Mishustin was appointed Prime Minister after being unanimously elected by the State Duma.

The fact that Mishustin doesn’t seem to change the government’s approach towards cryptocurrency. He is an avid fan of digitization, and this is a plus for the cryptocurrency world. His government’s goal will be to turn the country into a digital platform for the people. However, time will tell whether his plan includes the legal use of decentralized digital currencies.

Mikhail Vladimirovich Mishustin, Prime Minister of the Russian Federation. Image via see.news

Mishustin said that the country should implement modern information technology, including the development of a national digital economic program.

Medvedev supported a scenario in which the presidential organization and the government were united, thus giving the president total executive powers. Medvedev has now been appointed deputy head of the Russian Security Council under Putin.

Supporters say they will bring democratization to Duma, the collective authority, which has more influence in Russia’s internal affairs. However, critics worry that these have been designed to allow Vladimir Putin to retain control even when his last presidential term expires by becoming prime minister again.

Blockchain plays an important role for large companies in Russia

Last December, Russia’s national energy grid operator Rosetti began testing a blockchain solution for retail electricity payments. In November of last year, Russia’s largest bank, state-owned Sberbank, pioneered a blockchain solution for acquisition deals.

Last year, the CEO of major cryptocurrency exchange Binance, Changpeng Zhao, praised the programming talent and called Putin the most influential person in the blockchain industry.

Prohibit cryptocurrencies and confiscate Bitcoin

Moreover, in November 2019, it was reported that Russia was accused of preparing a ban on using cryptocurrencies to pay for goods and services. That same month, Russia was accused of planning to create laws that would allow the police to achieve the impossible: the confiscation of Bitcoin.

Mishustin was once Russia’s Director of the Federal Tax Service

Previously, Mishustin was Russia’s Director of the Federal Tax Service from 2010 to 2020. Obviously, he had the opportunity to voice his opinion about cryptocurrencies.

In November 2017, he said that cryptocurrency transactions should be taxable.

Earlier, Mishustin stated that cryptocurrencies are a financial instrument. He compared the application of digital currencies to the situation of fiat money many years ago, saying that it was initially distrustful and backed by gold.

Who is Mikhail Mishustin?

Mikhail Mishustin, 53, graduated from STANKIN as a system engineer. He also got his doctorate there.

Mishustin started his career in taxation in 1998, when he was appointed deputy head of the State Tax Department. After just one year, he was promoted to the deputy minister of tax.

Five years later, Mishustin moved to work at the Federal Land Administration as well as a leadership position. In 2007, he headed the Federal Agency for Special Economic Zones, but he left the chair after only a year.

Two years later, in 2010, Mishustin returned to the state apparatus and held the position of head of the Tax Department of the Russian Federation.

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