As cryptocurrency adoption becomes more and more global with every passing moment, more cryptocurrency firms are aiming to bring more exposure to the sector. The cryptocurrency firms are now coming up with more innovations in regards to bringing more exposure to the cryptocurrency industry.
In the year 2021, the most prominent and highly adopted product order in the cryptocurrency industry is the Exchange Traded Funds (ETFs). Cryptocurrency firms are from all over the world are moving towards exchange-traded funds due to their validity and acceptance rate among mainstream investors.
As the name suggests, the exchange-traded funds are dealt through the stock exchanges of a particular country or a region. The stock exchanges are properly regulated and licensed to operate in the respective regions.
This is the reason why the investors trust the exchanges much more than they trust cryptocurrency exchanges and brokerages when it comes to investing. Until the cryptocurrency industry does not regulate itself and does not come to the same regulatory level as the stock exchanges, investors would keep trusting them over crypto-brokerages.
Now that the trend of requesting for ETF is picking up the pace, it is spreading out of Japan, South Korea, Canada, and the United States. As Russia is currently one of the most advancing countries in terms of blockchain technology, it is ensuring that the ETF business does not pick up the pace there.
Just recently, the Bank of Russia has issued a notice to the local stock exchanges in the country in terms of cryptocurrency ETF listings. In the notice, the regulatory authority has intimated the local stock exchanges not to proceed with listings for the crypto-related firms on their platforms.
The letter was reportedly issued and sent by the Bank of Russia to the local stock exchanges in Russia on Monday, July 19, 2021. In the letter, the regulator has clearly instructed the exchanges not to enlist any local or foreign cryptocurrency-related firms on their platforms.
The regulator has also specified that the stock exchanges are not to enlist any firms that are even interacting with the cryptocurrency services in any way.
In the notification, the central bank has elaborated what kind of firms will not be allowed to have their services enlisted on the local stock exchanges.
The central bank has elaborated that any firms that rely on cryptocurrency markets and their prices in order to business should not be allowed to enlist themselves on stock exchanges.
The businesses also include the ones who are reliant on digital asset transactions and trades in order to run their operations.