Russia Still Unsure Of Cryptocurrency
The central bank of Russia is still hesitant when it comes to cryptocurrency and the involvement of bitcoin and other crypto coin trading markets. This comes from Forbes who has managed to follow this story for a few weeks now. The NSD or National Settlement Depository of the Moscow Stock Exchange is getting ready and putting together the proper infrastructure in order to let cryptocurrency be traded on the exchange in the future.
The Bank of Russia has alluded to digital currency and cryptocurrency derivatives not being allowed for trading on exchanges in Russia. This is at least for the near term. There’s not only a real concern about the use of digital currencies for illegal activities but also because of what other countries have encountered. The bank even stated that, “cryptocurrencies are issued by an unlimited circle of anonymous entities. Due to the anonymous nature of the issuance of cryptocurrency, citizens and legal entities can be involved in illegal activities, including legalization (laundering) of proceeds from crime and financing of terrorism.”
“Given the high risks of circulation and use of cryptocurrency, the Bank of Russia considers it premature to admit cryptocurrencies, as well as any financial instruments nominated or associated with cryptocurrencies, to circulation and use at organized trades and in clearing and settlement infrastructure.”
But what may be a bit questionable given the bank’s resistance to the topic, is that the country in its entirety has been very active in growing the space — remember our article on what Burger King is doing in Russia?
As of now, the Moscow Stock Exchange is building a blockchain platform to let deposits and settlements for numerous cryptocurrencies. It is being created in partnership with Waves, which is a public blockchain project. The NSD’s executive board chairman Eddie Astanin suggested that “the platform will not only provide technological and legal protection of all parties involved, but will increase the variety of post-trade services for investors.”
The exchange has set a launch date of early next year but then again the changing rules could deter this from happening.