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Russia plans to launch Crypto Exchanges

Russia plans to launch Crypto Exchanges

A Kommersant report noted that Russia might consider creating at least two crypto exchanges to support foreign economic activity.

According to the report, one of the exchanges would utilize the St. Petersburg Currency Exchange (SPCE) database to monitor foreign economic activity.

It has been reported that Moscow will host the second exchange. Nevertheless, the sources should have disclosed whether it will be established independently or in conjunction with the Moscow Exchange.

Mikhail Uspensky, a member of the legislative regulation of cryptocurrencies in the State Duma of the Russian Federation, stated that only a few consumers will initially utilize these exchanges in “test mode.” He also said it will eventually be accessible to significant importers and exporters.

Uspensky thinks small and medium-sized enterprises, particularly individuals, are unlikely to be initially granted unrestricted exchange access.

“It is crucial to underscore that the regulator is entirely responsible for the contours of the future experiment,” he continued.

Crypto Exchanges to Concentrate on Stablecoins Tied to the Chinese Yuan and the BRICS Currency—Russia

Furthermore, crypto exchanges will concentrate on developing stablecoins generally linked to the Chinese yuan and the BRICS currency portfolio.

In July, the Central Bank of Russia announced that it was contemplating the legalization of stablecoins for cross-border transactions. Recently, Russia has been discussing the creation of a favorable environment for stablecoins.

Russia’s commodities firms have also implemented stablecoins to conduct financial transactions with their Chinese counterparts. These actions were implemented in response to international restrictions and the tightening of conformance measures.

According to Oleg Ogienko, the director of communications at BitRiver, stablecoins are considered digital financial assets under Russian law.

Uspensky also observed that the endeavor is fraught with substantial risks. For example, if the confidentiality of the transaction is breached, the transaction information “may end up on sanctions lists.”

This would also result in the barring of transactions involving crypto assets acquired on domestic exchanges.

“Simply put, if information leaks into the public domain that cryptocurrency was purchased on a Russian exchange, then with the help of special technical means it will be easy to track and mark absolutely all transactions as suspicious.”

The expert thinks that the centralized nature would undermine any trust.

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