Bankers and government officials have discussed the possible creation of a crypto valley on the Pacific coast of Russia.

Some of the representatives of the Central Bank, as well as the executive power in Moscow which have taken part in the consultations initiated by the Fund for Development of the Far East. The city of Vladivostok, where the local authorities want to allow cryptocurrency trade, may become a crypto hub.

  Test site of the crypto regulations.

The Far East’s Fund for Development has proposed the creation of a crypto valley, which is centered on the Russian city of Vladivostok, its general director Alexei Cehkunov told RNS.

The FDFE along with the digital platform “Voshod” (sunrise), currently discus the idea together with the representatives of the Central Bank of Russia, as well as russia economy and the government officials. The necessary regulatory framework, cryptocurrency taxes and the risks that are associated with the project are under examination too.

Chekunov said:

From around 2 billion dollars have raised though crypto assets offerings, the Russian projects account for about 5%, or approximately $100 million. Obviously, the potential of our country in this new and perspective field has not been fully realized.

He noted that the FDFE has also been tasked by the Russian President Putin for exploring the chance of setting up a financial center in Vladivostok. He added:

We have proposed to combine these two initiatives.

Chekunov also called the experiment a “Russian Crypto Valley,” and he also described it as a “test site for technical, as well as regulatory approaches.”

This week, a local representative of the Russian Association of Cryptocurrencies and Blockchain told lawmakers in the Duma that Crimea’s jurisdiction can also be used to test the crypto “phenomenon.”

Several days ago, the head of the Russian republic of Udmurtia urged deputies to quickly adopt a regulation which was offered its territory for pilot projects. Some other regions want to set up large mining facilities.

FDFE has also announced their intentions to turn Vladivostok into the first crypto hub of Russia, taking advantage of the special financial ecosphere in its Free Port.

The Deputy Finance Minister of Russia has recently said that the authorities in the administrative center of Primorsky Krai were interested in hosting cryptocurrency trade. The nearby Russky Island has been mentioned as a zone of free crypto interactions.

FDFE director, Alexei Chekunov said:

Right now, we are focused on ending the regulatory rules, as well as analyzing the possible risks. The Voshod platform is ready to begin its operations with crypto assets. We are now working with all interested parties to start trading after the adoption of the legal framework in mid-2018.

The Far East’s Fund for Development was created by Vnesheconombank; the government-owned Russian development bank.

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