Russia’s central bank set to legalize crypto for qualified investors

Russia’s central bank, the Bank of Russia, is making strides towards legalizing cryptocurrency trading for qualified investors. The bank is considering amending the law to create a new category called “particularly qualified investors,” who would be permitted to trade cryptocurrencies. This move is part of Russia’s exploration of using cryptocurrencies for cross-border transactions. The central bank is currently in discussions about allowing this limited group of investors to buy and sell digital currencies, but emphasizes the need for a thorough analysis of potential risks. Furthermore, the Bank of Russia is also open to the use of stablecoins for international trade, as long as they meet specific criteria such as being backed by an obligated party and resembling digital financial assets. However, stablecoins without a backing entity would be treated as cryptocurrencies and would require an experimental regime for cross-border use. Recent reports have also indicated that Russia is considering establishing domestic crypto exchanges, primarily for the development of stablecoins tied to the Chinese yuan and a basket of BRICS currencies.