The Moscow Exchange, Russia’s largest market for stocks, bonds, and derivatives, intends to launch products based on digital financial assets by the end of the year, executives have announced. The trading platform is already working with partners to organize the placement of digital tokens.
Russia’s top exchange to promote trading of financial instruments based on digital assets
In a recent interview, a high-ranking representative of the Moscow Exchange (MOEX) indicated that the release of products based on digital financial assets (DFA) is planned for 2022. This announcement comes after a turbulent period in which Russia’s leading stock market had to deal with market volatility, sanctions pressure, and cyber attacks earlier this year.
Along with “digital rights,” DFAs are now the main legal term in Russian law applicable to various digital assets, including cryptocurrencies, but primarily those with specific issuers, according to several statements by Russian officials.
MOEX is currently working with one of its partners to realize a project to place digital tokens, Andrey Burilov, managing director for information technology and director of the Moscow Exchange, told the Tass news agency. He elaborated, noting that this is a company from the real economy.
The main point here is to use digital technology to link the company’s fixed assets with the investment market.
Burilov stressed that the digitization of products brings added value to market participants; MOEX aims to leverage DFA to provide clients with radically new investment tools to ensure information security.
Burilov also noted that the biggest difficulty in implementation is that it is a completely new product for the market, from regulation to software. He also noted that integration with the existing systems of exchanges and their customers is also a challenge.
In early July, the head of the Financial Markets Committee of the lower house of parliament said that Russia’s digital asset exchanges are best positioned to handle domestic crypto transactions. Anatoly Aksakov also suggested that a crypto trading platform could be established on the Moscow Exchange.
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