Top Crypto Exchanges Ready to Operate in Russia Under Proposed Rules, Report – Bitcoin Exchanges News

Major exchanges, interviewed by the Russian press, indicated that they are not afraid of the upcoming tough crypto regulations. The requirement for coin exchanges to establish a local office is one of the proposals in a regulatory roadmap drafted by the government in Moscow.

Cryptocurrency exchanges to open a shop in the Russian Federation

Some of the world’s largest digital asset exchanges, surveyed by Kommersant, do not object to a potential requirement to establish a permanent presence in Russia in order to continue providing services to its citizens. The idea of ​​requiring foreign-based platforms to do so is part of the government’s roadmap to regulate the country’s crypto space.

The document, which was reportedly signed by Deputy Prime Minister Dmitry Chernyshenko, was prepared as an alternative approach to the Bank of Russia’s call for a ban on trading, among other crypto operations. With its hardline stance, the central bank has found itself isolated as most other government institutions, including the Ministry of Finance, prefer regulation to prohibition.

Other requirements considered in the roadmap include those related to anti-money laundering efforts, such as sharing transaction data with Rosfinmonitoring, Russia’s financial watchdog. Crypto market participants will also need to put in place mechanisms to verify ownership information of the digital assets they deal with.

Binance, the largest crypto exchange by volume, told the business daily that it is ready to open a branch or even register a legal entity in Russia, “if it contributes to the convenience of users and the security of operations. “. Olga Goncharova, head of government relations for Russia and CIS countries, said Binance supports the regulatory roadmap as a step that “will make operations more understandable, transparent and user-friendly,” while noting that the proposals require an additional “calibration”.

Another major crypto trading platform, Huobi, said it hoped for an “open dialogue with Russian regulators.” His team believes that a constructive cryptocurrency law would help increase confidence in digital assets and exchanges among individual and institutional investors.

Crypto exchange AAX has revealed that it has no plans to establish an office in the Russian Federation anytime soon, but it also said it may start working in that direction in case where the regulations would be approved. AAX is prepared to comply with what it described as “legitimate” regulatory requirements. The exchange, which serves about half a million Russian residents, noted that it maintains information about its customers, their balances, transactions and trading activities.

Russian lawmakers are currently working on a new draft law to close the regulatory gaps that remain after the adoption of the “Digital Financial Assets” law. The authors aim to define which entities will be allowed to work with cryptocurrencies, including crypto exchanges. Business platforms incorporated abroad will be subject to a ‘special’ registration regime, deputy chairman of the security and anti-corruption committee Andrey Lugovoy, one of the sponsors, told Russian media .

Keywords in this story

Regulation, Regulations, Roadmap, Crypto, crypto exchanges, crypto trading, Cryptocurrencies, Cryptocurrency, entity, Exchanges, Government, Office, Rosfinmonitoring, rules, Russia, Russian, Russian Federation, trading

Do you think crypto exchanges will be able to adapt to the upcoming Russian rules for the sector? Share your thoughts on the subject in the comments section below.

Lubomir Tassev

Lubomir Tassev is a tech-savvy Eastern European journalist who loves Hitchens’ quote: “Being a writer is who I am, rather than what I do.” Besides crypto, blockchain and fintech, international politics and economics are two other sources of inspiration.

Image credits: Shutterstock, Pixabay, Wiki Commons

Warning: This article is for informational purposes only. This is not a direct offer or the solicitation of an offer to buy or sell, or a recommendation or endorsement of any product, service or company. Bitcoin.com does not provide investment, tax, legal or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.