Two social network platforms located in Russia have shared that they will now be accepting cryptocurrency payments. Vkontakte (In Contact), which is a popular social media site for people who speak Russian as their primary language and Odnoklassniki (Classmates), which has a large base of users in former Soviet states, will begin taking Bitcoin payments from advertisers. These platforms also plan to begin paying developers and partners in digital money.
Both Bitcoin and Bitcoin Cash will be accepted by Mytarget, a platform that both of the social networks use. The crypto payments will go through the My.com subsidiary of Mail.ru Group and then be processed by Bitpay, a payment service provider in the United States. For the time being, developers of applications and associated platforms will still receive their payments in fiat currency. However, the plans are in motion to provide them the crypto option soon.
“Advertising through the Mytarget platform and its network can be paid for in Bitcoin (BTC) or Bitcoin Cash (BCH). In the near future, owners of participating sites and applications will also be able to receive income in cryptocurrency,” Mail.ru Group explained.
Vkontakte is the most popular social media platform in the Russian Federation. It sits in the top 20 in Alexa’s top 500 sites online. The site has over 470 million accounts. The social media platform was launched by Russian entrepreneur, Pavel Durov, in 2006 and has since beaten Odnoklassniki to become Russia’s leading social media site. However, Odnoklassniki is still quite popular in Russia and a few other countries in the post-Soviet-space.
The introduction of Bitcoin payments by Mail.ru Group is a critical step for the Russian cryptocurrency sector. The increasing popularity of digital currency in the country has led to proposals being made by the Ministry of Economic Development to introduce tax breaks on profits and incomes from crypto-related transactions. Ideas around this topic are set to be discussed by the Council of Ministers of Russia.