Russia To Lay Regulatory Framework Instead of Launching National Crypto Exchange
Recent reports indicate that the Russian government has abandoned plans to launch a national cryptocurrency exchange. According to Anatoly Aksakov, chairman of the State Duma committee on the financial sector, they instead seek to create legislation for the construction and operation of such platforms.
Aksakov said that when cryptocurrency exchanges grow more involved in international commercial transactions, they may be subject to new regulations.
However, he was optimistic that new laws will pave the way for growth prospects for startups. The Ministry of Finance agrees with this idea, demonstrating the need for thorough regulations to promote crypto adoption in the nation.
Major Boost for Crypto Adoption
The Central Bank is widely expected to take charge of crypto exchange regulation. According to the deputy, these particular laws would be incorporated in the proposed bill on experimental legal regimes.
New details also show that the Ministry of Finance was not in support of launching a new national crypto exchange, but rather recommended a regulatory framework to let existing enterprises to launch such exchange.
Participants in the market have expressed support for the plan to move away from the national exchange and toward regulated activities. BitRiver’s head of government relations, Oleg Ogiyenko, highlighted that taking this strategy would alleviate worries about market domination and reduce the likelihood of sanctions and cyber-attacks on critical infrastructure.
Foreign cryptocurrency exchanges that want to operate inside the Russian Federation are also planned to be subject to additional regulations. Protecting the privacy of Russian customers would be the primary goal of such regulations.
The crypto community at large applauds the good position the world’s ninth-most populous nation has made toward crypto as it moves toward regulatory frameworks for crypto platforms. The price of Bitcoin has risen by 2.12% in the previous 24 hours as a result of this cryptocurrency news, bringing its weekly gain to 3.52%.