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Russia's central bank to legalise crypto for qualified investors

Tuesday 27 August 2024 10:22 CET | News

Russia’s central bank has considered amending the law to introduce a new category of ‘qualified investors,’ which would allow them to trade crypto.

 

Russia’s central bank has considered amending the law to introduce a new category of ‘qualified investors,’ which would allow them to trade crypto.

The Bank of Russia is considering amending the law to introduce a new category of ‘particularly qualified investors,’ which would allow these individuals to trade crypto as the country explores the use of this currency for cross-border transactions.

The central bank’s officials indicated a possible shift in the nation’s stance on cryptocurrencies. They disclosed that they’re contemplating the possibility of permitting a limited group of specially qualified investors to participate in buying and selling cryptocurrencies, all after potential risks are analysed.

A change in legislation would be needed

Currently, there is no legal framework defining these investors, but the central bank is reportedly considering legislative changes to establish this new category.

The Bank of Russia is also showing openness to the use of stablecoins for international trade, provided they meet certain criteria. According to Guznov, if a stablecoin is backed by an obligated party and resembles digital financial assets — centralised, tokenized assets issued in Russia — then it can already be used for cross-border settlements under current laws. However, algorithmically managed stablecoins without a backing entity would be treated as cryptocurrencies and would require an experimental regime for cross-border use.

Russia’s CBDC project

This news comes shortly after the Bank of Russia announced plans to launch its central bank digital currency, the digital ruble, by July 2025, following successful pilot tests. The rollout will be gradual, with full implementation expected to take five to seven years, depending on public and business adoption.

Russia’s central bank has been piloting its CBDC, the digital ruble, with 12 local banks since August 2023, testing digital wallets and transfers. This blockchain-based digital currency is intended to complement existing forms of rubles.


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Keywords: cryptocurrency, regulation, stablecoin, CBDC, cross-border payments
Categories: DeFi & Crypto & Web3
Companies:
Countries: Russian Federation
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DeFi & Crypto & Web3






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