Central Bank of Russia (CBR) stated in an official notice published on Thursday that stock exchanges in Russia should not offer investment products linked to cryptocurrency values.
Cryptocurrencies and digital assets, according to the bank, are characterized by high volatility, opaque pricing, limited liquidity, technological, regulatory, and other unique hazards. Purchasing financial instruments connected to them has a higher risk of loss for those who lack the necessary expertise and understanding.
However, the prohibition excludes digital currencies issued by central banks, as well as digital assets created in compliance with Russian legislation and registered with the Bank of Russia, according to the regulator.
In early June 2021, it was revealed that CBR added Crypto to its survey program for 2021 the study titled “Assessment of risks of using cryptocurrencies”. The survey’s goal was to gather data on trends to analyze systemic risks associated with Russian individuals and legal entities investing in cryptocurrencies.
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The Bank of Russia announced recently about the beginning of a pilot project for a digital ruble, central bank digital currency (CBDC) with a dozen institutions, including the biggest, Sberbank, VTB, Gazprombank, and Alfa Bank.
Russia even enacted legislation controlling digital assets in June 2020. More regulations were implemented early this year, prohibiting Russian government employees from owning cryptocurrencies and forcing election candidates to reveal their cryptocurrency holdings.
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