Crypto Advocates In Russia Ask Putin To Change Their Approach To Crypto Regulation

While Russia keeps on delaying the regulation of crypto adoption, the native crypto proponents have requested Vladimir Putin (the president of the country) to alter the approach toward crypto regulation. The Russian association of Crypto Industry and Blockchain (RACIB), a prominent group comprising Russian blockchain and crypto enthusiasts, issued a letter to the president on the 6th of March in this respect.

Russian RACIB Persuades President to Reconsider the Strict Regulatory Stance on Crypto

In that open letter, they persuaded Putin to deal with the risks related to ignoring the worldwide development made by the crypto market. The RACIB noted that the country has been witnessing a very slow development in the implementation of the legal regimes aiming at the crypto assets’ adoption despite enacting its initial crypto law in the year 2021.

In 2022’s November, policymakers operating in Russia presented a list of legal modifications to the country’s crypto law. They proposed the launch of a crypto exchange platform that would operate countrywide. As per the RACIB, a few of the respective modifications would pose substantial complications to digital finance-related technology’s implementation within the jurisdiction.

As mentioned by the policymakers, the respective amendments specify criminal sanctions to be imposed on the native blockchain developers. The proposed modifications would provide a wide range of choices to the law enforcement authorities of Russia for the placement of restrictions over the native crypto community.

Alexander Brazhnikov, the executive director of the RACIB, stated that the entities running in the industry of digital assets would have convenience in proving that they do everything in line with the Russian legislation’s agenda. The RACIB has eventually asked the president to stop the antagonistic approach toward the crypto industry in terms of regulation, as the local businesses are prohibited from completely utilizing the crypto market’s potential.

The platform also asserted that such a stance toward the burgeoning sector would pave the way for straight financial losses on the part of the country. The group added that the present policy for digital financial-asset regulation poses severe risks to the economy of the country. In the words of the RACIB, while moving with the present regulatory plan of Russia, the country will lag behind the crypto-friendly as well as the unfriendly nations in the world.

The RACIB claimed that the procrastination witnessed in the authorization of the exclusive financial technologies. The group pointed toward a prominent risk at the back of overlooking the advantages of the crypto market is the local talent’s relocation to progressive jurisdiction, taking into account America, Kazakhstan, and other such countries.

To assist Russia in modifying its stringent regulatory attitude toward the crypt industry, the RACIB has requested the president to develop a working group taking into account those who represent the community of digital assets to cooperate with the authorities to build the regulatory policy for crypto assets.

The Group Advocates for a Comprehensive Crypto Regulation for Cross-Border Payments

Particularly, the group has shown interest in the development as well as the implementation of cross-border systems of payments in South Africa, China, India, Brazil, EAEU jurisdiction, Russia, and so on. Back in 2021, Yury Pripachkin of RACIB argued that the country was doing nothing for the local crypto industry’s regulation. This news is witnessed at a point when the central bank of Russia has repeated its unchanged approach toward crypto.

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