Russia Moves to Open Up Cryptocurrencies to Retail Investors
Russia is reportedly set to take steps to open cryptocurrencies to retail investors, with a new bill expected to be submitted to the country’s legislature soon. This move aims to normalize the use of cryptocurrencies and provide a clearer regulatory framework for their use. According to Anatoly Aksakov, chairman of the State Duma’s Financial Markets Committee, a law is ready to be introduced that would remove cryptocurrencies from special financial regulation and place them under a general legal framework.
“A lot of attention is being paid to the development of digital financial assets, and we will devote a lot of time to cryptocurrencies in the coming spring session,” Aksakov said. The bill would follow the Bank of Russia’s policy proposal put forward in December to allow unqualified investors to purchase certain cryptocurrencies – a reversal from a previous position in which it considered a total crypto ban. This change in stance is significant, as it could lead to increased adoption and use of cryptocurrencies in the country.
Bill Provides Limited Access to Unqualified Investors
Aksakov said the legislation would give so-called unqualified investors such as retail traders limited access to crypto, capped at 300,000 rubles ($3,800). He added that “professional participants” who can meet income, knowledge or education criteria could trade crypto “without restrictions.” This approach aims to strike a balance between allowing individuals to participate in the cryptocurrency market while also protecting them from potential risks.
Anatoly Aksakov (pictured) reportedly says Russia will introduce laws to enable wider use of crypto. Source: State Duma
“Cryptocurrencies can be actively used for international payments, including for further placement in the financial markets of other countries when issued here,” Aksakov added. Currently, cryptocurrencies are considered property in Russia and their use for payments is prohibited. However, many Russians and companies use cryptocurrencies to send money internationally, highlighting the need for clearer regulations.
Crypto Exchanges Could Also Face Regulations
Crypto exchanges in Russia could also face a regulatory overhaul. Local news agency Interfax reported on Wednesday that Anton Gorelkin, chairman of the State Duma’s technology committee, is pushing for new rules. Gorelkin said on a Telegram channel that fraudsters are using exchanges based in neighboring Belarus to target Russians, making it harder for authorities to track them down.
“Precisely for this reason it is necessary to bring order to crypto exchanges and create conditions for their legal activity on Russian territory,” Gorelkin said. Exchanges are currently unregulated in Russia, and many platforms have left the country due to sanctions, pushing locals to use informal peer-to-peer services or exchanges outside the country. The Bank of Russia relaxed crypto transaction rules for companies in late 2024, and its proposal published in December included rules for how exchanges, brokers, and trusts could manage crypto.
For more information on this development, visit https://cointelegraph.com/news/russia-bill-open-crypto-aims-common-occurrence-report
