Anatoly Aksakov, chairman of the Russian State Duma Committee on Financial Markets says Russia has to enact new rules to safeguard regular investors from the crypto investment losses.
As a result, he claimed, MPs in the country’s parliament are apparently mulling new legislation to restrict cryptocurrency investments by non-accredited investors.
The official spoke at a Bank of Russia-sponsored seminar focusing on financial consumer protection.
“We would look to give maximal security for our citizens who invest in digital assets,” Aksakov said. “It is a new instrument, and it is pretty tough for an unskilled investor.”
Cryptocurrency investment carries a high level of risk as well as the potential for high profits, according to Aksakov, with worldwide investors pouring billions of dollars into crypto. “We definitely need particular legislation to safeguard a non-professional investor from ill-advised digital currency purchases,” he said.
The latest announcement coincides with the Bank of Russia’s recent measures to slow down crypto exchange transactions in order to safeguard retail investors from “emotional” crypto purchases.
According to Sergey Shvetsov, the Bank of Russia’s first deputy governor, this step will shield Russian investors from losses if the cryptocurrency market “crashes to zero.”
In Russia, cryptocurrencies such as Bitcoin (BTC) have become a popular financial tool. According to the Russian Association of Forex Dealers’ August study, 77% of Russian investors believe cryptocurrencies are the “most forward-looking” investment.
