The Concept of Cryptocurrency in the Context of Improvement of the Russian Legislation

In the paper, the authors formulate a multidimensional concept of «cryptocurrency», which takes into account the technical, economic and legal nature of cryptocurrencies. In addition, the paper defines the relationship of the concepts of «cryptocurrency» with such commonly used terms as «digital currencies», «virtual currencies» and «electronic money». The authors understand cryptocurrencies as a kind of digital money, which is the result of the functioning of the corresponding computer program (digital code). Cryptocurrencies are created using the appropriate Protocol, operating in a decentralized manner, with the use of the blockchain technology. If the issue has a centralized issuer while maintaining other features inherent in these cryptocurrencies, then it is possible to talk not about cryptocurrencies, but about the issue of electronic money. The main difference between electronic money and cryptocurrencies is the presence of electronic money of the Central Issuer and the lack of it in cryptocurrencies. Another important difference between cryptocurrencies and electronic money is the way they are issued and stored. Cryptocurrencies are stored and issued in a decentralized manner, while the information about electronic money and transactions with them can be centralized on one server. There are also other differences, such as the mandatory use of asymmetric cryptographic encryption when creating cryptocurrencies, etc. Being digital money, cryptocurrencies at the same time are a kind of digital property that performs the functions of a means of payment in the society, does not have a physical form, that is, can not exist in the form of coins or banknotes. The authors support the addition of art.128 of the Civil Code of the Russian Federation with a new object of civil law (digital money) in the context of improving the draft law «On digital financial assets».

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