The landscape of cryptocurrency in Russia is set for significant changes as lawmakers propose restrictions on the circulation of digital assets. Anatoly Aksakov, Chairman of the State Duma Committee on the Financial Market, revealed plans for a vote on a ban on organizing cryptocurrency circulation, effective as early as September 1.

The proposed legislation aims to prohibit the establishment of digital asset exchanges and exchangers outside the experimental legal regime while allowing crypto assets issued within Russian jurisdiction. This reflects Russia’s commitment to safeguard its domestic economy while permitting digital currency miners, mining pools, and Central Bank test projects to operate within the experimental legal regime.

A key point emphasized by Aksakov is that the intention is not to completely ban the use of digital assets, but rather to restrict the organization of their circulation within the country. This decision also stems from the belief that cryptocurrencies are quasi-currencies competing with the Russian ruble, undermining its status as the nation’s official currency.

Additionally, Anton Gorelkin, deputy chairman of the State Duma Committee on Information Policy, argues that the ban on cryptocurrency circulation is a protective measure against potential exposure to Western sanctions. This underscores the geopolitical significance in shaping Russia’s stance on cryptocurrencies, with the ban serving as a precautionary measure to mitigate potential risks.

While the restrictions are set to take effect on September 1, there remains the possibility of revisiting these regulations in the future. Gorelkin did not rule out lifting the ban, emphasizing the current focus on establishing a regulatory framework within the experimental legal regime and protecting the domestic economy.

Disclaimer: The information provided in this research report is for informational purposes only and should not be interpreted as financial or investment advice. The NFT and cryptocurrency market is highly volatile, and readers should conduct thorough research before making any investment decisions.