Table of Contents
In a significant shift in its stance on digital assets, Russia is exploring the creation of a regulated cryptocurrency trading market, but access will be strictly limited to a newly defined category of "super-qualified" investors, according to local media reports.
The initiative, currently under discussion between the Ministry of Finance and the central bank, aims to establish a secure and controlled environment for cryptocurrency trading within Russia, a move prompted by economic pressures and a desire to harness the potential of digital assets.
Alexei Yakovlev, director of the Finance Ministry’s financial policy department, announced the ongoing discussions at the Asset Management Market Leaders Forum, stating that establishing a regulated crypto trading market was not merely an "idea" but a "task that has been set," Interfax reported. He indicated that the market would likely operate under an "experimental legal regime," with specific criteria and risk mitigation measures to be defined.
A key element of the proposal is the creation of a "super-qualified investor" category, a concept that remains undefined. Yakovlev suggested this category would likely encompass professional market participants and individuals meeting stringent financial and expertise requirements. While the current financial threshold for "qualified investors" in Russia is 12 million rubles ($135,000), this is expected to double to 24 million rubles next year, hinting at the potential wealth criteria for the "super-qualified" category.
“We are currently defining it and assessing whether it can be introduced under current conditions without risks to the financial system, monetary policy and security,” Yakovlev told journalists, emphasizing the cautious approach being taken. He stressed that discussions are ongoing within the Finance Ministry, in collaboration with the central bank and market participants, to ensure that "the experimental legal regime, the super-qualified investor category, and risk mitigation measures all align" before any specific initiative is presented to the government.
While Russian citizens are legally permitted to own cryptocurrencies, their use for payments within the country remains prohibited, pushing much of the trading activity to foreign platforms. Since September 1, the central bank has been running a limited experiment allowing select foreign trade participants to use cryptocurrency for international transactions under a special legal framework. However, Yakovlev acknowledged that broader domestic adoption requires extensive further work. “Allowing digital currency into domestic circulation is a completely different matter that requires thorough and meticulous work, which we are currently conducting,” he stated.
In August 2024, Russia officially regulated Bitcoin mining, but later imposed regional mining bans due to energy concerns. Notably, the Ministry of Finance recently ruled out including Bitcoin in Russia's sovereign wealth fund, citing its volatility. Furthermore, plans for the digital ruble CBDC have been indefinitely delayed, indicating challenges in Russia's broader digital asset ambitions.
Blockhead
