In a significant legislative move, Russia is set to introduce comprehensive money laundering controls on transactions involving the digital ruble. Spearheaded by Anatoly Aksakov, Chairman of the State Duma Committee on the Financial Market, the proposed bill aims to integrate a robust anti-money laundering (AML) framework specifically tailored for the digital ruble, Russia’s central bank digital currency (CBDC).
Enhanced Oversight by the Central Bank of Russia
The bill, officially titled “On combating money laundering and the financing of terrorism to transactions with the digital ruble,” envisions a structured approach to monitor digital ruble transactions closely. It designates the Central Bank of Russia as the principal entity responsible for implementing AML measures within this system. This involves the Central Bank assessing the risk profiles of platform users to identify and potentially block those involved in suspicious activities.
Collaborative Reporting Mechanisms
Furthermore, the legislation mandates that the Central Bank of Russia must report transactions deemed high-risk to Rosfinmonitoring, the national financial monitoring service. The specifics of which transactions will fall under this mandatory reporting requirement will be determined through future agreements between involved parties.
Aksakov’s Push for Cryptocurrency Regulation
Aksakov has been a vocal advocate for stringent regulation of cryptocurrencies in Russia, emphasizing the need for “serious controls” following their legalization. His efforts have been geared towards compelling cryptocurrency holders to disclose their holdings to the authorities, aiming to curb the potential use of digital assets in money laundering and financing terrorism.
Preparing for the Digital Ruble Launch
With the digital ruble currently in pilot testing phases, Russian officials anticipate its official launch by 2025. The introduction of this bill is a proactive step towards ensuring that the infrastructure for the digital ruble is equipped with the necessary controls to prevent financial crimes, setting the stage for its widespread adoption across Russia. This move reflects Russia’s broader strategy to adapt its financial regulatory framework to the evolving digital economy, prioritizing security and transparency in digital currency transactions.
