Russia Considers Allowing Stock Exchanges to Offer Crypto Trading for Qualified Investors

Author

Ruholamin Haqshanas

Author

Ruholamin Haqshanas

About Author

Ruholamin Haqshanas is a contributing crypto writer for CryptoNews. He is a crypto and finance journalist with over four years of experience. Ruholamin has been featured in several high-profile crypto...

Author Profile

Share

Copied

Last updated:

July 15, 2024 05:39 EDT

Why Trust Cryptonews

Cryptonews has covered the cryptocurrency industry topics since 2017, aiming to provide informative insights to our readers. Our journalists and analysts have extensive experience in market analysis and blockchain technologies. We strive to maintain high editorial standards, focusing on factual accuracy and balanced reporting across all areas - from cryptocurrencies and blockchain projects to industry events, products, and technological developments. Our ongoing presence in the industry reflects our commitment to delivering relevant information in the evolving world of digital assets. Read more about Cryptonews

The Russian Ministry of Finance is considering allowing qualified investors to trade digital currencies on licensed exchanges, such as the Moscow Exchange and St. Petersburg Exchange.

According to reports from local media outlets, the Ministry of Finance aims to grant permission to companies listed in the central bank’s registry of exchanges and trading systems to conduct digital currency trading for a select group of “specially qualified” investors.

The registry, overseen by the Bank of Russia, currently includes seven recognized and licensed exchanges and trading systems operating within the country.

Among them are prominent institutions like the Moscow Exchange, St. Petersburg Exchange, and St. Petersburg International Mercantile Exchange (SPIMEX).

Major Exchanges Are Involved in Developing Crypto Market

Anatoly Aksakov, head of the State Duma Financial Market Committee, claimed that major exchanges are already actively involved in developing the cryptocurrency market and organizing the necessary infrastructure.

He expressed confidence that once the legal framework is established, these exchanges would promptly enter the crypto trading space without encountering any significant obstacles.

BREAKING:

Russia is reportedly considering allowing Bitcoin and cryptocurrency trading for select investors

— FUD (@WhaleFUD) July 13, 2024

The proposal by the Ministry of Finance is part of a draft government review addressing two parliamentary bills, one focused on cryptocurrency mining regulation and the other on digital currency transactions under an experimental legal regime.

Prime Minister Mikhail Mishustin has directed several government agencies, including the Ministry of Finance and the Bank of Russia, to develop mechanisms for using cryptocurrencies in international settlements.

The Ministry of Finance’s proposal suggests the establishment of specific regulations for organized trades in digital currencies, treating them as commodities.

These regulations would be based on an exchange or trading system license and apply to a limited group of specially qualified investors.

The exact criteria for classifying these investors are not outlined in the document.

Additionally, the proposal recommends recognizing digital currencies as currency values within the general regulatory framework, enabling currency transactions and their use as a means of payment in foreign trade agreements.

Russian Commodities Firms Turn to Stablecoins for Transactions

As reported, Russian commodities firms facing challenges in executing financial transactions with Chinese counterparts have turned to stablecoins.

In response to international restrictions and tightening compliance measures, these firms have turned to cryptocurrencies, including Tether’s stablecoin, to facilitate cross-border transactions with their Chinese clients and suppliers.

Furthermore, Russia has also been pushing forward with CBDC plans.

In July last year, Russian President Vladimir Putin officially signed a bill that would introduce a digital version of the country’s national currency.

The move gave legal authority to the Bank of Russia, the country’s central bank, to act as the platform operator for the digital ruble.

The digital ruble will act as a new form of payment, alongside cash and non-cash rubles.

More recently, it was revealed that Iran and Russia are working on CBDC and “digital financial asset” (DFA)-powered trade solutions.

During a recent interview, Rahimi Mohsen, the trade attaché of the Iranian Embassy in Russia, said that “nations” were “exploring the use of DFAs and central bank digital currencies.”