The Russian authorities intend to establish strict obligations for all participants in the cryptocurrency market. Besideslicensing of exchanges and exchangers, all transactions are proposed to be carried out through the banking infrastructure.
Here are the main provisions of the approvedby the government of the Russian Federation the concept of legislative regulation of the circulation of cryptocurrencies. According to it, digital currencies will actually be recognized as a close analogue of foreign currency, rather than digital financial assets or securities.
Investors
All individual clients will be divided intoqualified and unqualified investors. To do this, they will be tested on the basis of banking platforms. In the future, limits on exchange transactions will be set for unqualified investors.
To carry out cryptocurrency transactions, the user must open an account or an electronic wallet with the organizer of the digital currency exchange system and go through the identification procedure.
Digital currency exchange system organizer
These, according to the concept, will include banks witha universal license, having the right to carry out operations of opening and maintaining bank accounts of individuals and legal entities, to provide electronic means of payment. Their list will be fixed in a special register.
Banks must identify the devices from which the transaction is carried out, and the users themselves. The personal data of an individual include:
- full name, address, date of birth, email address, phone number, login and password;
- bank account details or number, expiration date and CVC code of the card used to purchase virtual assets;
- numbers and copies of identification documents, such as a passport or driver's license;
- client's photograph.
Additionally, information about the transaction is recorded, including the date, time, amount, currencies used, recipient and sender data.
The organizers of the exchange system will checkcryptocurrency transactions for their possible connection with illegal activities and report violations to government authorities, or forward relevant information upon request. To monitor cryptocurrency transactions, it is proposed to use the “Transparent Blockchain” service developed by Rosfinmonitoring.
Information on transfers indicating the data of the cryptocurrency wallets of the parties to the transaction must be stored for at least 5 years.
Digital currency exchange operators
The provisions of the concept include p2p exchangers with “basic operator rights” and cryptocurrency exchanges with “universal rights” as such.
For work in the Russian jurisdiction, cryptocurrencyplatforms are required to register a legal entity and obtain a license or permission from the financial regulator. In the future, the authorities will determine the size of the minimum authorized capital of such companies and establish requirements for the security of their information systems.
The concept provides for the introduction of mandatoryKYC/AML procedures for clients of exchangers and exchanges. At the same time, trading platforms must open their own accounts or wallets with a Russian bank and provide it with data on planned cryptocurrency transactions.
Also, sites will be required to have financial airbags for liquidity and capital adequacy.
As a separate point, the concept considersforeign crypto exchanges. They are required to have a representative office in the Russian Federation and an agreement with a local bank. A foreign exchange is prohibited from withdrawing client funds to accounts and wallets other than those registered to him in this bank.
Trading platforms registered in an offshore zone will not be able to operate in Russia.
Transaction mechanism
Before buying or selling digital currency, the user must open a cryptocurrency wallet and undergo identification with a Russian bank.
Transaction exchanges and exchangersprovide banks with information about the wallet of the client who plans to make a transaction, and about the details of the transaction being made. The bank checks whether the transaction is related to illegal activities, and then sends a confirmation of the possibility of carrying out this operation. Only after that, the exchanger or exchange will be able to transfer the cryptocurrency to the client’s wallet and debit the funds from the other side of the transaction.
In the information system for the exchange of digital currencies, a record is formed about the completed transaction, indicating the data on the amount, the number of the cryptocurrency wallet.
Withdrawal of funds to wallets registered outside Russian banks is prohibited.
Supervisory authorities
The Ministry of Finance of Russia, Rosfinmonitoring, the Federal Tax Service of Russia, the Ministry of Digital Development of Russia, the Prosecutor General's Office of the Russian Federation and the Bank of Russia can act as supervisory bodies within their competence.
Legislative changes
As part of the implementation of the concept, it is planned to finalize and adopt four bills. Among them:
- draft law on taxation and declaration of transactions with cryptocurrencies;
- amendments to the Code of Administrativeoffenses to introduce liability for the illegal circulation of digital financial assets and violation of the rules for making transactions with them, as well as for organizing the illegal acceptance of digital currency;
- amendments to the Criminal Code to introduceresponsibility for evading the declaration of information about transactions with digital currency, as well as the provision that crimes using cryptocurrencies will be an aggravating circumstance;
- amendments to the law “On Combating Money Laundering” in terms of the obligation of monitoring subjects to send information on transactions with digital currencies to Rosfinmonitoring.
Also, the government does not rule out changes to the law “On Digital Financial Assets” or the development of a new federal law.
“Establishment of rules for the circulation of crypto-currencies and measurescontrol will minimize the threat to the stability of the financial system and reduce the use of cryptocurrencies for illegal purposes, since a complete ban on the segment of operations related to their turnover is impossible,"- it is said in the document.
Let us remind you that, in contrast to the proposed total ban of cryptocurrencies transactions on the territory of the country proposed by the Central Bank of the Russian Federation, the Ministry of Finance presented its concept of market regulation.
The day before, on February 8, the government supported this document and instructed the head of the Ministry of Finance, Anton Siluanov, together with the Central Bank of the Russian Federation, to submit a corresponding bill by February 18.
Where is it more profitable to buy cryptocurrency? TOP-5 exchanges
For a safe and convenient purchase of cryptocurrencies with a minimum commission, we have prepared a rating of the most reliable and popular cryptocurrency exchanges that support deposits and withdrawals of funds inrubles, hryvnias, dollars and euros.
The reliability of the site is primarily determinedtrading volume and number of users. By all key metrics, the largest cryptocurrency exchange in the world is Binance. Binance is also the most popular crypto exchange in Russia and the CIS, since it has the largest cash turnover and supports transfers in rubles from bank cardsVisa / MasterCardand payment systemsQIWI, Advcash, Payeer.
Especially for beginners, we have prepared a detailed guide: How to buy bitcoin on a crypto exchange for rubles?
Rating of cryptocurrency exchanges:
| # | Exchange: | Website: | Rating: |
|---|---|---|---|
| 1 | Binance (Editor's Choice) | https://binance.com | 9.7 |
| 2 | Huobi | https://huobi.com | 7.4 |
| 3 | Exmo | https://exmo.me | 6.9 |
| 4 | OKEx | https://okex.com | 6.5 |
| 5 | Bybit | https://bybit.com | 6.3 |
The criteria by which the rating is set in our rating of crypto-exchanges:
- Work reliability— stability of access to all functions of the platform, including uninterrupted trading, deposits and withdrawals of funds, as well as the duration of the market and daily trading volume.
- Commissions– the amount of commission for trading operations within the platform and withdrawal of assets.
- Additional features and services— futures, options, staking, NFT marketplace.
- Feedback and support– we analyze user reviews and the quality of technical support.
- Convenience of the interface– we evaluate the functionality and intuitiveness of the interface, possible errors and failures when working with the exchange.
- final grade– the average number of points for all indicators determines the place in the ranking.
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