FameEX Hot Topics | Russia to Exercise 'Significant' Control Over Crypto Following Legalization, States Chairman of State Duma Financial Markets Committee

Anatoly Aksakov, the chairman of the Financial Markets Committee of the State Duma, has provided an update on the legalization and regulation of cryptocurrencies in Russia. He emphasized that the government intends to exercise "serious" control over cryptocurrencies once they are legalized. Aksakov stated that crypto users in Russia are eagerly anticipating this legalization, as it would enable them to easily use cryptocurrencies for international settlements and overcome banking-related obstacles.

Aksakov stressed the need for establishing tight regulations governing crypto transactions and service providers. The aim is to create a secure framework that protects cryptocurrency owners, ensures proper taxation, and maintains stability in the crypto market. Recent reports highlight the Central Bank of Russia's (CBR) plan to conduct pilot tests of cross-border settlements using digital and central bank digital currencies (CBDCs). The Deputy Chairman of the CBR, Alexey Guznov, clarified that these settlements would be focused on facilitating international transactions and would not be available for domestic use within Russia.

Aksakov had previously mentioned that exchanges would be utilized for cross-border settlements, including bypassing sanctions restrictions. However, he cautioned that such actions might lead to the introduction of new restrictions on these exchanges. As a result, Russia abandoned its plans for a national cryptocurrency exchange. Aksakov expressed his expectation that a bill regulating cryptocurrencies would be passed by October. Initially, he aimed to pass four crypto-related laws during the spring session of the State Duma, which concludes on July 30. These legislative efforts are aimed at establishing a legal framework for cryptocurrency activities in Russia.

The government's intention to exercise significant control over cryptocurrencies after legalization reflects its commitment to mitigating risks and ensuring responsible usage of digital assets. As the regulatory landscape evolves, Russia seeks to create a favorable environment for cryptocurrency adoption, enabling smoother international transactions and fostering confidence in the crypto market. By providing clear regulations, the government aims to address taxation issues, establish rights for cryptocurrency owners, and provide protection within these markets.

The expected passage of a bill regulating cryptocurrencies by October signifies progress in Russia's efforts to create a comprehensive legal framework for the crypto industry. While the specific details of the legislation are yet to be revealed, it is expected to address important aspects of cryptocurrency usage, trading, and taxation. The involvement of the Financial Markets Committee in shaping the regulatory framework demonstrates the government's commitment to striking a balance between control and innovation within the crypto sector.

Overall, these developments indicate Russia's growing recognition of the importance of cryptocurrencies and their potential impact on international transactions. By embracing digital assets, Russia aims to enhance its position in global finance and facilitate smoother economic interactions with other countries.

Disclaimer: The information provided in this section is for informational purposes only, doesn't represent any investment advice or FameEX's official view.