Russia Proposes Allowing Traditional Platforms to Trade Crypto for Select Investors
Russia’s Ministry of Finance has proposed allowing traditional trading platforms to manage the trading of cryptocurrencies for a select group of investors, according to a report by Interfax.
A draft government response to two pieces of legislation outlines the possibility of creating special regulations to conduct organized crypto trading as commodities, based on a platform license or trading system license. This proposal restricts license extensions or qualifications to a limited circle of specially qualified investors and does not include qualification standards.
The Central Bank of Russia’s registry includes licenses for seven companies: the Moscow Exchange, the Saint Petersburg Exchange, the Saint Petersburg International Mercantile Exchange (SPIMEX), the Saint Petersburg Currency Exchange (SPCE), the Eastern Exchange, the National Commodity Exchange, and the CTS Exchange.
Anatoly Aksakov, Chairman of the State Duma’s Committee on the Financial Market, told the news agency that Russia’s largest exchanges are already capable of supporting crypto flows and that companies can “immediately engage in the process” under suitable legal conditions.
Aksakov added that some platforms are already engaged in related activities.
The draft government response also addresses platform proposals to regulate mining and settlements in an experimental legal system.
The final draft specifies a recognized status for crypto and the possibility of conducting foreign exchange transactions, including using crypto as a mean of payment under international trade agreements (contracts).
Prime Minister Mikhail Mishustin instructed the Ministry of Finance, the Central Bank, and other entities in Russia to establish an international crypto payment mechanism in 2022. The legislation may grant the Central Bank the right to develop a pilot platform starting in September.
The final draft also confirms that general regulations, rather than specialized ones, can accommodate crypto payments in foreign trade if the assets acquire the appropriate status.
Meanwhile, Russia is also considering legitimizing the use of stablecoins for international payments and has plans to enhance the use of digital currencies for central banks.
