- Russia is abandoning plans to launch a state-run crypto exchange and is now focusing on regulating private ones.
- The Ministry of Finance rejected the idea of establishing a national crypto exchange and the Central Bank will likely regulate the work of crypto exchanges.
- Crypto industry leaders are supporting the new development, which could help minimize risks associated with sanctions, cyber attacks, or abuse of a dominant position in the market.
Russia Abandons Plan for State-Run Crypto Exchange
Russia has abandoned plans to launch a state-run crypto exchange and is instead turning its focus to regulating private platforms. According to a new Izvestia report, Russia’s Ministry of Finance rejected the idea after it was discussed late last year. Ivan Chebeskov, director of the financial policy department at the Ministry of Finance, stated that instead they want to legally regulate “the possibility of creating such sites by business.”
Central Bank Expected To Regulate Crypto Exchanges
Anatoly Aksakov, head of the Russian lower house committee on financial markets, also confirmed this news in an interview with Izvestia. He stated that authorities have decided against creating a national crypto exchange and will be establishing rules for operating these structures instead. The Central Bank is expected to have an important role in overseeing this regulation and enforcing rules for these exchanges. This could help minimize risks associated with sanctions, cyber attacks or abuse of power within the market.
Crypto Industry Leaders Support New Development
The new development has been met with support from various members of the crypto industry including Oleg Ogiyenko, director of government relations for BitRiver – one of Russia’s largest mining firms. Ogiyenko believes this move will eliminate cases where one party dominates over others within the market as well as reduce risks associated with sanctions and cyber attacks on infrastructure.
Draft Law On Experimental Legal Regimes
Aksakov revealed that rules written within a draft law on experimental legal regimes may come into play when it comes to regulating cryptocurrency exchanges in Russia. The exact details remain unknown but it appears that this law will govern how these platforms operate and provide them legal status within Russia’s jurisdiction .