Russia Guarantees that Regulations are Not Intended to Kill ICOs

While speaking at a youth forum in Sochi last week, Russia’s first deputy Prime Minister – Igor Shuvalov – received a sincere and ernest request from a forum participant saying “I have a big request for you, please do not let our ICOs die as a result of regulation.” Replying to this Shuvalov promised and guarantee him the government of Russia will defend all the capabilities of ICOs and prevent them from any shutdown in its operations.

Recently, the Russian government has taken few regulatory measures and imposed a temporary ban considering it has harmful. However, Russian president Vladimir Putin has asked authorities to not obstruct ICOs and said that it holds “Huge potential” in the future.

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Deputy Prime Minister Shuvalov confirmed that the government plans to regulate ICOs. He said:

“We still do not know if it’s harmful or not, but we are already trying to ban and close it down. If our place is among advanced countries, and we want to succeed in this competitive race and even create better standards of life than our partners we are looking at on their social economic standards, one must be a little bolder.”

 In past few months, Russian authorities have been discussing a lot about the legality of ICOs and they impose a potential threat to investors.

The Russian Association of Blockchain and Cryptocurrency (RABIK) is preparing a new draft law and a bill for legalising ICOs. President of RABIK, Yuri Pripachkin, while describing the bill said:

“Most likely, it will be its own model, since other countries, when regulating ICOs, rely on previous experience of instruments for attracting financing such as IPO, crowdfunding, etc.”

 Sergei Gorkov, chairman of the state-owned Vnesheconombank (VEB), said that the state needs to take a position on the working of ICOs.

“ICO is a phenomenon. From my point of view, this is an opportunity to attract additional money to the economy. It is necessary to assess the risks, which are formed in this connection, but this is one of the possibilities.”

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Drawing Sergei’s line of thought further, Shuvalov said:

“We need to be very careful about this so that people are not deceived so that rascals and lawbreakers do not use people’s trust to simply shake money and create pyramids…But not to put obstacles in the way of new opportunities. ICO is a tremendous opportunity.”

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