Russian State Duma Committee proposes to shield unqualified investors from cryptocurrencies

The head of the Duma committee on the financial market stated the need to limit investments of unqualified investors in crypto assets in order to protect their interests.

“We need to prescribe legislation norms that will protect an unqualified investor in ill-considered investments in digital currencies,” Anatoly Aksakov said during the International Conference on the Protection of the Rights of Consumers of Financial Services.

According to him, billions of dollars are invested in the crypto market, but investments in cryptocurrencies carry a high risk of losing funds for retail investors.

“Digital assets are a topic of our close attention, and we will look at how to maximize the protection of our citizens when investing in digital currencies and digital assets, because here is a new tool, and it is quite difficult for an unqualified investor.”

Other conference participants spoke more restrainedly, mentioning the investment attractiveness of cryptocurrencies, low barriers to entry into the crypto market and positive global experience with friendly rather than restrictive regulation of this industry. “Cryptocurrency is a certain symbol of freedom, financial freedom, it is a signal to all regulators that there is no need to drive people into a corner. People will always come up with something that will force them to bypass the prohibitions,” said Anatoly Gavrilenko, founder of the Alor Group.

Alexander Abramov, Head of the Laboratory for Analysis of Institutions and Financial Markets at the Institute for Applied Economic Research (IPEI), RANEPA, recalled that in the United States, cryptocurrencies are included in the regulated financial landscape and are available for purchase to retail investors, in particular, on the advice of financial consultants.

“Currently, 14% of all financial advisers in the United States offer their clients a real option from 1% to 2% of assets to keep in private cryptocurrencies.”

Jan Art, an expert of the State Duma Committee on the Financial Market, also recalled the permission to invest in cryptocurrencies, who noted that in Germany institutional investment funds had the right to invest up to 20% of assets in cryptocurrencies.

In July, the Central Bank of the Russian Federation recommended that professional participants in the securities market refrain from offering retail unqualified investors to purchase securities linked to cryptoassets.

Via: 2Coinfox.info

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