Overview of RSPP’s New Dispute Board
The Arbitration Center at the Russian Union of Industrialists and Entrepreneurs (RSPP) is stepping into the chaotic world of cryptocurrency disputes by forming a board dedicated to the digital economy. As reported on October 31, this new entity aims to tackle a myriad of legal issues arising from blockchain technology, smart contracts, and Initial Coin Offerings (ICO). Experts predict that disputes in this sector could escalate by a staggering 40 times between 2020 and 2025. Talk about a growth spurt!
Leadership and Structure
Elina Sidorenko will take the reins as the head of the board. She’s no stranger to the crypto conundrum, as she chairs a Duma working group focused on assessing the potential risks associated with cryptocurrencies. According to her, the groundwork for this independent arbitration body has been laid, with arbitrators already on board to navigate the murky waters of crypto-related disputes.
The Current Legal Landscape
Sidorenko points out the pressing challenges facing Russia’s courts, which are overwhelmed by a surge of crypto-related cases. A noteworthy detail? Almost half of these cases deal specifically with smart contracts. She expressed her concerns about the lack of regulatory frameworks that would safeguard the rights of citizens engaging with digital technologies:
“The courts are now facing a lot of problems, including the lack of regulatory mechanisms to protect the rights of citizens, who create and apply digital technologies, and the ability to accept digital data as a new type of evidence.”
The Need for Accountability
For the digital economy to flourish, Sidorenko emphasizes that issuers of smart contracts must be held civilly and legally accountable for their actions. The complexities of legal issues surrounding blockchain and cryptocurrencies underline the necessity for an independent arbitration body to resolve these disputes efficiently.
Alternative Proposals and Government Interaction
The RSPP, which boasts members like billionaire Vladimir Potanin and Skolkovo’s Viktor Vekselberg, has proposed an alternative to the state draft bill concerning digital financial assets. After initially announcing their intention to address discrepancies in the government’s draft in September, they sent their proposal to Prime Minister Dmitry Medvedev in October. Their goal? To delay hearings on the government draft to iron out various controversies and develop clearer classifications for tokens. Unfortunately, the recent edits to the governmental draft have left it devoid of crucial terms, including definitions for cryptocurrency and crypto mining.
Conclusion
The RSPP’s establishment of a board for disputes in the digital economy marks a significant step towards addressing the legal void surrounding cryptocurrencies. As the digital landscape continues to expand, it becomes increasingly important for businesses and individuals to have a reliable framework for resolving disputes and ensuring accountability.
