Regulation of the cryptocurrency market: world practice and Russian experience

Abstract

The article discusses the global practice of legal regulation of cryptocurrencies and the Russian experience in this area. In recent years, the cryptocurrency market has been growing rapidly, and the total capitalization of the cryptocurrency market reaches significant sizes, in this regard, the problem of determining the status of cryptocurrencies as a means of payment is considered. Any state will strive to maintain the monopoly of its own fiat currency as a means of payment. The emergence of a new, digital, decentralized currency, which is technically difficult to regulate, can lead to the rise of a shadow economy and a surge in fraudulent and other unlawful activities, from which the citizens of an unprotected country will suffer. Modern states are facing the problem of legal regulation of cryptocurrencies, there is no established global practice of such regulation, and there is often talk of either a complete ban on the circulation of cryptocurrencies, or a strict limitation of such circulation and citizens’ rights to dispose of them. The article examines various approaches to cryptocurrency regulation in different countries, including Venezuela, China, India, South Korea, and Singapore. Special attention is paid to the regulation of cryptocurrencies in Russia.