Central Bank of Russia proposes allowing limited circle of investors to buy, sell cryptocurrencies as part of experiment

MOSCOW. March 12 (Interfax) - The Central Bank of Russia has proposed allowing a limited circle of Russian investors to buy and sell cryptocurrencies, thus the regulator is planning to establish a special experimental legal regime (EPR) for three years, the Central Bank said.

The CBR has prepared the proposal and a number of others in accordance with the presidential instructions that it has sent to the government for discussion.

Only "particularly qualified investors" are assumed to be able to effect transactions with cryptocurrencies as part of the EPR. This is a new status that citizens are expected to be able to obtain if investments in securities and deposits exceed 100 million rubles or if income for the past year has exceeded 50 million rubles.

It is also proposed that companies that are qualified investors under current legislation become participants in the experiment.

The Central Bank will establish regulatory requirements accounting for the level and nature of risks of the asset for financial institutions that seek to invest in cryptocurrency.

There are plans to allow all qualified investors outside the experimental regime to invest in settlement derivative financial instruments, securities and digital financial assets that do not envisage delivery of cryptocurrency to investors, though whose profitability is tied to its value.