- June 2, 2023
- Posted by: [email protected]
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Anatoly Aksakov, a State Duma official, indicated that Russia plans to develop other cryptocurrency platforms in reaction to sanctions. The Russian government has abandoned plans to build a regulated national cryptocurrency exchange in favor of regulating several crypto trading platforms.
Initially, Russian lawmakers had proposed the idea of a national crypto exchange in November 2022, which would have been integrated with the Moscow Exchange. However, according to Anatoly Aksakov, this plan has been abandoned. Instead, Russia now aims to establish regulations for the creation and management of various crypto platforms.
Aksakov, who leads the financial markets committee in the Duma, emphasized that these crypto exchanges would enable Russian businesses to conduct cross-border transactions and provide a means to circumvent sanctions. However, the introduction of such platforms may also attract restrictions imposed by international authorities.
In response to potential limitations, Aksakov announced that Russia will continue to develop new crypto platforms and organizations. The key objective will be to ensure proper regulation throughout this process.
Aksakov suggested that the main regulatory authority overseeing cryptocurrency exchanges in Russia will likely be the central bank. The regulatory framework will be integrated into the bill on experimental legal regimes. Alexey Guznov, the deputy governor of the Bank of Russia, stated that the concept of cryptocurrency exchanges in Russia, in the traditional sense, may not be applicable. Instead, these platforms are expected to act as facilitators of cross-border transactions, coordinating interactions between exporters and importers. They could assist Russian companies in payment transactions related to parallel imports, among other functions.
Major Russian crypto companies reportedly opposed the idea of a national crypto exchange and instead advocated for the establishment of a regulatory framework for such organizations.
According to Oleg Ogienko, a compliance executive at BitRiver, implementing a new regulatory mechanism will help mitigate risks associated with sanctions and cyberattacks on infrastructure. It will also address concerns related to market dominance. Ogienko suggested that crypto exchanges should, at least initially, restrict participation by unqualified investors.
Russia’s decision to focus on multiple crypto trading platforms demonstrates its determination to navigate the challenges posed by sanctions while harnessing the potential of cryptocurrencies within a regulated framework.
