The Central Bank of Russia is considering to limit digital currency purchases by unqualified investors in the country.
The monetary regulator has issued a draft directive to define the characteristics of the digital financial assets and is willing to set rules for investing in such instruments by the qualified and unqualified investors.
The proposed framework wants to limit investments on any cryptocurrency instruments to up to 600,000 rubles per year, which is around $7,779, for all unqualified individuals and entrepreneurs.
On the other hand, qualified Russian investors can invest in digital assets in accordance with foreign laws.
This came in accordance with a previously passed law on digital financial assets.
The regulator is seeking public discussions on the draft until October 27, and if cleared, the rules are expected to come into effect from January 1, 2021.
Russia vs. Crypto
Earlier this year, Russia legalized digital currencies terming them property, but banned their use as a mode of payment. President Vladimir Putin already signed this law that will come into effect at the start of 2021.
However, the agencies in the country want to put strict rules on individuals involving their crypto purchases.
The Russian Ministry of Finance earlier proposed a bill to criminalize any non-disclosure of digital currency investments to the tax agency. Any violation would attract heavy penalties and even months in jail. Another proposal in circulation wants to criminalize any crypto transactions involving payments or exchange.
Furthermore, the country’s media censorship agency flagged Binance last month for offering details on digital currencies acquisition.
Meanwhile, the Bank of Russia is exploring the feasibility of issuing a digital ruble and recently published a consultation paper on it.