Policymakers in Russia are working on a new law to “protect” non-professional investors from rash investments in cryptocurrencies, according to reports. Russia needs new laws to adopt in order to protect retail investors from crypto-risks, believes Anatoly Aksakov, the chairman of the Russian State Duma Committee on Financial Markets. The crypto-future in Russia looks presently blurry. While its government has spoken about creating Russia’s own regulated digital currency, holding undeclared cryptocurrency between $1,300 (roughly Rs. 97,500) and $13,000 (roughly Rs. 9.7 lakhs) is a finable and jail-time offence in the nation.
“Digital assets are the topic of our close attention, and here we will look at how to protect our citizens as much as possible when investing in digital currencies and digital assets, because here is a new tool, and it is quite difficult for an unqualified investor,” Russian news portal Interfax quoted Aksakov as saying.
Aksakov, earlier this week, was addressing a focussed on financial consumer protection where he made the statements.
As of now, it remains unclear by when would this law come into force.
The government officials of Russia worry, that if someday the crypto-market was to crash to zero, Russian crypto-investors should not have to suffer because that would impact Russia’s over-all economy.
Despite Russia’s stringent restrictions on crypto-trading, 77 percent Russian investors believe that investing in crypto is the “most forward looking” investments, a recent report by Russia’s Association of Forex Dealers revealed in August.
Last year, the government of Russia had come to a decision to not subject crypto to a complete ban.
As of January 1, 2021, cryptocurrencies were declared “allowed” in Russia – but not to be used as an exchange for goods and services. Russians can mine, trade and hold cryptocurrencies – but using them as a payment option can push people behind the bars, as per a report by Forbes.
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