October 30, 2020

The State Duma of the Russian Federation will allow crypto-exchanges transactions with foreign tokens

The State Duma of the Russian Federation will allow crypto-exchanges transactions with foreign tokens

The State Duma is considering the possibility of allowing transactions on Russian cryptocurrency exchanges with foreign digital financial assets. Such an amendment is contained in the October version of the draft law “On Digital Financial Assets”, which is being prepared for a second reading in May 2018, RBC reports, citing two sources familiar with the discussion of the draft.

The bill regulates the issue, accounting and circulationdigital financial assets (CFA), which in the latest version are understood as digital analogues of debt receipts, bonds and equity rights, i.e. tokens. However, the definition of the token in the bill is missing. Previously, lawmakers planned to recognize any rights issued through the blockchain as property or real estate as a CFA, but now they have refused this interpretation.

Issue of tokens in the framework of the Russianlegislation will be able to individual entrepreneurs and legal entities, including foreign companies. There are other requirements for the operators of such information systems: they can only be legal entities working under Russian law and included in a special register maintained by the Central Bank. In particular, banks and depositories may be operators, provided that they are included in the register.

The bill defines another type of participantscryptocurrency market - a CFA exchange operator, i.e. cryptocurrency exchanges. The document allows such operators to conduct “transactions of purchase and sale of digital financial assets, including transactions with digital financial assets issued in information systems based on a distributed registry organized under foreign law”.

In the previous version of the bill, the possibility of transactions in Russia with foreign crypto assets was not mentioned.

This version of the bill is being approved and the State Duma expects to adopt the law before the end of the year, said Anatoly Aksakov, head of the Duma committee on the financial market.

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