According to local media, Russia is planning to introduce the first comprehensive regulatory framework in the world for crypto, such as Bitcoin. The lawmakers are hoping to have the document ready for a vote at the parliament by the end June. reports.
Anatoly Aksakov is the head of the State Duma Committee on the Financial Market. He said the much-anticipated regulations could be approved this summer.
The framework, if passed, would officially take effect one-year later. It will open regulated Bitcoin and Crypto Trading to qualified investors and nonqualified ones beginning July 1, 2020.
The proposed regime would allow retail investors to invest in up to a maximum of $2,000 per person. allowed to participate in the crypto marketThere are some restrictions.
The state news agency TASS reported previously that unqualified traders would be capped At annual purchases of 300.000 rubles, (approximately $3,900), you would only be allowed to purchase a small number of items that regulators consider the best. “most liquid” cryptocurrencies.
Investors who are qualified and professionals would have the option to trade cryptocurrency in an unlimited amount. This is with the exception of tokens that promote privacy, such as Monero, and Zcash. Russian authorities have repeatedly stated that they are excluding these assets because of concerns about anonymity and conformity with anti-money laundering standards.
‘Bitcoin will definitely be included’
Alexandra Fedotova of the Moscow firm White Stone said it is likely that Central Bank of Russia would compile an approved list of cryptocurrency for retail trade.
“Most likely, the Central Bank will compile a list of the top five to ten most traded cryptocurrencies on major exchanges,” Fedotova made the following comments, as reported in local media. “Bitcoin and ether will definitely be included. Possibly SOL or TON will be added, given their popularity in our country. Everything else will be only for qualified investors.”
This framework will also allow Russian citizens to buy bitcoins abroad with foreign accounts, and then transfer the assets to local platforms.
It is anticipated that stablecoins will be treated differently under law. Fedotova stated that regulators will likely classify dollar pegged tokens in a way to allow them to be used for international economic activities, while still maintaining domestic restrictions.
The draft bill aims to formalize the rules for bitcoin and cryptocurrency issuance. miningIt would also reaffirm Russia’s long-standing ban on using cryptocurrencies for domestic payments, a position the central bank has consistently defended despite gradually softening its stance towards crypto trading. The central bank would reaffirm Russia’s ban on domestic cryptocurrency payments.
Aksakov stated that additional legislation will be introduced to establish enforcement measures including financial and administrative liability, as well as criminal responsibility, for any illegal activities in the crypto-sector. In the crypto sector, penalties are likely to be the same as those for criminal activity.
Under the new regime existing licensed brokers and exchanges would continue to be able to operate, but platforms and custodial service providers currently operating in legal grey areas would have to get new licenses that were tailored for their specific activity.
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Source: bitcoinmagazine.com
