According to Interfax, the Russian Finance Ministry has proposed allowing cryptocurrency trading on exchanges for a limited group of “specially qualified” investors.

This move is part of broader efforts to develop mechanisms for international settlements using digital assets.

Russia May Allow Crypto Trading, But Not for Everyone

The Ministry’s draft response addresses two proposed laws regulating cryptocurrency mining and digital currency settlements under an experimental legal framework. The Ministry suggested allowing all foreign economic activity (FEA) participants to use digital assets for settlements under general regulations, which would require recognizing them as a currency value.

As an experimental measure, the Ministry proposed that only exchanges and platfoms listed in the official register be allowed to conduct cryptocurrency trading, treating it as a commodity. The document does not specify criteria for classifying these investors.

In essence, the Ministry wants authorities to approve digital currency settlements for all FEA participants. At the same time, it aims to limit cryptocurrency purchases on Russian exchanges to a select group of investors.

Read more: Crypto Regulation: What Are the Benefits and Drawbacks?

The register includes major exchanges such as the Moscow Exchange, SPB Exchange, and St. Petersburg International Mercantile Exchange (SPIMEX). Anatoly Aksakov, head of the State Duma’s Financial Market Committee, highlighted that Russia’s largest exchanges can support cryptocurrency trading immediately if the necessary legal conditions are established.

“Our Moscow Exchange and SPB Exchange, the St. Petersburg Commodity Exchange, they are already actively carrying out such work. I mean on market development, on how to establish the relevant work (…), if only legal conditions are created for their work, they will immediately get involved in the process. So I don’t think there will be any problems with this,” he said.

The Russian Central Bank has long opposed any cryptoassets. According to current legislation, Russian residents cannot use cryptocurrency for payments. Although purchasing cryptocurrency on foreign exchanges is not prohibited, digital asset turnover within Russia remains in a “gray zone.”

However, external circumstances are gradually forcing the regulator to reconsider its stance. Previously, there was a proposal to legalize stablecoins for international settlements. Experts believe this move could simplify transactions among BRICS countries and mitigate the impact of Western sanctions.

Read more: A Guide to the Best Stablecoins in 2024

The recent proposal marks a huge step in Russia’s stance on cryptocurrency, focusing on controlled experimentation and infrastructure readiness to integrate digital assets into international trade.