The Russian government has changed its course of action regarding the creation of a national cryptocurrency exchange. Initially, there were plans to launch a unified crypto exchange as part of the Moscow Exchange in November 2022. However, lawmakers have now abandoned this idea, according to State Duma member Anatoly Aksakov.
Instead of pursuing the creation of a single crypto exchange, Russia is now focusing on establishing rules and regulations for multiple crypto trading platforms. This change in direction follows opposition from the Russian Ministry of Finance and other unnamed authorities about the idea of a national exchange.
Aksakov, who is the head of the Duma’s financial markets committee, explained that crypto exchanges would allow Russian businesses to process cross-border transactions and help local firms avoid sanctions. According to him, Russia will continue to create new crypto platforms and organizations in response to potential restrictions against such platforms, emphasizing that regulation should be the main priority.
The Bank of Russia might be the primary regulatory authority supervising cryptocurrency exchanges, suggesting that the related regulatory framework would be part of the bill on experimental legal regimes. Despite the plans, the Bank’s Deputy Governor, Alexey Guznov, stated that it is too early to discuss the concept of cryptocurrency exchanges in the classical sense. Instead, the platforms may act as organizations coordinating interaction between exporters and importers in facilitating cross-border transactions, assisting companies in paying for parallel imports.
Russian crypto companies, including major ones, have reportedly opposed the idea of creating a national crypto exchange, instead advocating for a regulatory framework for such organizations. BitRiver’s compliance executive, Oleg Ogienko, mentioned that a new regulatory mechanism would help minimize risks of sanctions, cyberattacks on infrastructure, and issues related to dominant market positions. He also added that crypto exchanges should restrict unqualified investors from their platforms initially.
In summary, Russia’s shift away from establishing a national cryptocurrency exchange towards the regulation of multiple platforms shows the government’s commitment to creating a robust and secure ecosystem for digital assets. While this approach comes with its challenges, addressing issues like security and investor protection will establish a healthy environment for the crypto industry to thrive in the country.
Source: Cointelegraph
