Several countries have taken steps in recent times to regulate cryptocurrency. First, it was China’s trading regulations that led to the shut-down of the second-largest and fourth-largest Ethereum cryptocurrency mining pool worldwide. Now, Russia joins the list; the country plans to limit crypto transactions by non-accredited investors and reduce transactions to exchanges to limit “emotional” crypto transactions.
In an event devoted to financial customer protection, the chairman of the Russian State Duma Committee on Financial Markets, Anatoly Aksakov, said they are considering new legislation to protect crypto investors in the country. In his exact words, “Digital currencies are subject to our enhanced focus, and we will look to provide maximum protection for our citizens who invest in digital assets because it is a new instrument, and it is quite difficult for an unskilled investor.”
Following in line is the decision of the Bank of Russia to “slow down transactions to crypto exchanges to protect retail investors.” The first deputy governor of the Bank of Russia believes this is a step in the right direction to protect the citizens’ interests in a situation if the cryptocurrency market crashes completely.
The rate of crypto investment in Russia has increased drastically in recent years. In a survey by Russia’s Association of Forex Dealer, 77% of Russian investors believe cryptocurrencies are the “most revolutionary” investment. We await the impact of such regulations on the cryptocurrency market.