How do you see Russian's capping unexperienced traders to invest $3800 only

[tvplus006]

...It is a good policy in some way and in some other ways I think it just creates a limit on aspiring traders with little capital and investors alike who aim or see themselves getting wealthy from investment in trading.

And what can prevent such a trader and investor from using a larger amount than that provided for by the bill, if they will use decentralized exchanges for this purpose? Actually, even now, many traders trade on DEX, who take care of their anonymity.

[Wind_FURY]

...It is a good policy in some way and in some other ways I think it just creates a limit on aspiring traders with little capital and investors alike who aim or see themselves getting wealthy from investment in trading.

And what can prevent such a trader and investor from using a larger amount than that provided for by the bill, if they will use decentralized exchanges for this purpose? Actually, even now, many traders trade on DEX, who take care of their anonymity.

But just to be safe from government invented "taint", it's better for those Russians to buy as much Bitcoin as they can NOW before their government starts implementing that bull-crap law.

The current market conditions are starting to be VERY GOOD for Buy the DIP and HODL.

[overland000]

I can assure you that such BS law will be easily bypassed inside Russia. But I seriously doubt they will adopt this nonsense. It's more of wishful thinking by the Central Bank, but they will not get what they want. Its a measure to protect increasingly useless fiat, this is why no one will abide by such law in real life.

[bitbollo]

The idea by itself is not wrong. At least here in EU. the education in finance is literally absent. People create "craters" mismanaging their incomes.
these limitations are already present in most of western countries (and probably to all EU nations).
The problem is... that this is just another fake - check. It is really easy to overcome this test and become professional
No one will ever make a check of what you have reported - you can just ask to another people to make it for you.

[overland000]

If the law was actually implemented, it would be to only alow crypto trading for the rich and corrupt (surprise...). Lots of misinformation in this thread. Regular person would not be able to overcome this gatekeeping nonsense. Luckily people do not abide by such rules and there are alternatives.

[overland000]

I assume everyone knows what happened to Iranian real currency. It can happen anywhere next, can happen to USD too, but Russia is much closer to this outcome for sure. Imagine some "law" prohibiting you from converting your life savings to gold, bitcoin or stable currency, as your currency collapses at high speed. That's what these "laws" are made for, to rob people blind.  Someone who invested in BTC might be able to make it out of collapsing society unscathed and not robbed at the border.

[crwth]

Aksakov said the legislation would give so-called unqualified investors, such as retail traders, limited access to crypto, capped at 300,000 rubles ($3,800).

He added that “professional participants” who can pass income and knowledge or education criteria would be able to trade in crypto “without restrictions.”

https://cointelegraph.com/news/russia-bill-open-crypto-aims-common-occurrence-report

They are allowing their inexperienced citizens to only invest $3800 in cryptocurrency unless they prove that they know what they are doing, and they have the crypto trading or investing knowledge. From one point, I am seeing it as a good step because they don't want their citizens to lose money on cryptocurrency, so they are giving them a cap to invest.

On the other hand, it can be taken as state overreaching into the personal finances of a citizen. I wonder if they do it for stock or other trading as well.

How do you see this step from the trading point of view? Is it good?

Isn't this being done by big exchanges? Like, in futures trading, before you can get activated, you have to pass a test, and knowing that you can get liquidated and lose all your money. In a way, it's a great plan because you can control how people put money in and balance it, unlike gambling. Trading is also a form of gambling, and it's their way to balance trading.

It is to limit risky investments, and I think it's a good thing IMO unless you are experienced. Maybe some tier-based thing with the account age and eases up once you get more experience.

[overland000]

Don't compare this to those easy little tests by US brokers.
Russian Central bank wants unsurmountable barriers for regular people.

Imagine someone being drafted into the war or facing high inflation and not being allowed to convert their savings to leave the country with their money.

I seriously doubt that anyone who would support this is a actual human bitcoin investor or enthusiast. More like someone doing paid tasks for the Russian government. Or working for some other government

[Wind_FURY]

Don't compare this to those easy little tests by US brokers.
Russian Central bank wants unsurmountable barriers for regular people.

Imagine someone being drafted into the war or facing high inflation and not being allowed to convert their savings to leave the country with their money.

I seriously doubt that anyone who would support this is a actual human bitcoin investor or enthusiast. More like someone doing paid tasks for the Russian government. Or working for some other government

It's probably advisable for Russian Bitcoiners to organize more meetings ups and gain more personal connections/trust, and you can trade with each other physically, using cash.

If they don't want Bitcoiners to use the legacy banking system, then build a community of local users, or meet up with local users.

[justdimin]

based on the news, professional traders won’t have those limits anyway.
So overall, it looks like a good bill.

Yeah, we cannot expect that both professional and unexperienced traders to be treated on a same way if you really concern about the safe of capitals of beginners. Even I feel like that limit is little bit on upper side based on the cost of living in my country, having such limit must be good because I am sure that my local exchanges are not having anything like that. Now I am able to understand about our regulators and their policies.

On the other hand, it can be taken as state overreaching into the personal finances of a citizen. I wonder if they do it for stock or other trading as well.

Maybe in stock exchange, you may lose to another citizen in most cases whereas in crypto trading which is not the case. This may be the reason why they impose too many regulations on crypto trading.

[tvplus006]

But just to be safe from government invented "taint", it's better for those Russians to buy as much Bitcoin as they can NOW before their government starts implementing that bull-crap law...

However, this may be a partial solution to the problem, as not everyone has the opportunity to make a one-time purchase of BTC for a large amount. But given that this is just a bill that may take a very long time to pass before it becomes law, there is still time for those who wish to make such an investment.

[Wind_FURY]

But just to be safe from government invented "taint", it's better for those Russians to buy as much Bitcoin as they can NOW before their government starts implementing that bull-crap law...

However, this may be a partial solution to the problem, as not everyone has the opportunity to make a one-time purchase of BTC for a large amount. But given that this is just a bill that may take a very long time to pass before it becomes law, there is still time for those who wish to make such an investment.

But that's not the point. But you're right that that "solution" is partial, but it's the actual path to go around the problem. Plus using Bitcoin PEER TO PEER is how it was intended to be. So if forced to be used it in that why again, then why not use it in that way again, no?

[JeffBrad12]

I can assure you that such BS law will be easily bypassed inside Russia. But I seriously doubt they will adopt this nonsense. It's more of wishful thinking by the Central Bank, but they will not get what they want. Its a measure to protect increasingly useless fiat, this is why no one will abide by such law in real life.

Depends on the punishment and how it's enforced and how strict the government are in that area.

Though, I knew that life finds way and even with strict restriction from chinese's government in china to prohibit mining activity, china still got 11% hashrate share to mine bitcoin so I agree that this investment cap will be bypassed.

[FanEagle]

we cannot expect that both professional and unexperienced traders to be treated on a same way if you really concern about the safe of capitals of beginners. Even I feel like that limit is little bit on upper side based on the cost of living in my country, having such limit must be good because I am sure that my local exchanges are not having anything like that. Now I am able to understand about our regulators and their policies.

The "unexperienced" calculation is what I wonder. Just because someone is starting now, doesn't mean the two people will be same. I wonder how they are capping like how they are making a decision who should be capped and who should not be capped. Because even if there are two people who start today for the first time in crypto trading, one could be 20 year professional who traded in stocks or whatever and could be very good at crypto trading within a few weeks, whereas one could be some 20 year old kid who doesn't know anything.

When people are easily faking about their experiences, I guess that government are not minding about individual's preference but going for a common rules and regulations for all category for experience in trading here in the case that we are discussing.

[GeorgeJohn]

They are allowing their inexperienced citizens to only invest $3800 in cryptocurrency unless they prove that they know what they are doing,

In some certain countries $3800 is big amount of capital and losing it in trading might caused a trauma to the person..Trading $3800 is a reasonable amount with some traders, why trainees in trading will not allowed to experiment with such amount...but it's cool if government can fix a maximum or minimum someone can trade..

and they have the crypto trading or investing knowledge. From one point, I am seeing it as a good step because they don't want their citizens to lose money on cryptocurrency, so they are giving them a cap to invest.

The country wants to save her citizens not to venture on what that will not benefit them....

Secondly, the country is enlighten the citizens to know and understand risk measures in cryptocurrency, and for them to know the minimum and maximum they can invest on cryptocurrency.

On the other hand, it can be taken as state overreaching into the personal finances of a citizen. I wonder if they do it for stock or other trading as well.

Since they have started it, I believe that the will extend it to other stock trading investment, except the one they're doing because cryptocurrency is on purpose.

How do you see this step from the trading point of view? Is it good?

For me that's nice and it's a welcomed development to a country that have their citizens at heart..

[shield132]

Aksakov said the legislation would give so-called unqualified investors, such as retail traders, limited access to crypto, capped at 300,000 rubles ($3,800).

He added that “professional participants” who can pass income and knowledge or education criteria would be able to trade in crypto “without restrictions.”

https://cointelegraph.com/news/russia-bill-open-crypto-aims-common-occurrence-report

They are allowing their inexperienced citizens to only invest $3800 in cryptocurrency unless they prove that they know what they are doing, and they have the crypto trading or investing knowledge. From one point, I am seeing it as a good step because they don't want their citizens to lose money on cryptocurrency, so they are giving them a cap to invest.

On the other hand, it can be taken as state overreaching into the personal finances of a citizen. I wonder if they do it for stock or other trading as well.

How do you see this step from the trading point of view? Is it good?

If we keep in mind the economy of Russia and the income of people living there, then $3,800 is a normal limit. It might be a good idea for the society that doesn't love taking responsibilities and always tries to blame others instead of themselves. Potential benefits of this limitation are that it will prevent many people from losing money that they can't afford to lose and it provides protection for many of them but there is a tiny percentage of people who are responsible and smart, they'll definitely be negatively affected but to sum up, for the majority of the population, this is a good limitation. I personally find it too paternalistic but choices should be made for the majority, mostly.

[Leahized]

Actually a lot of other countries have also approached the same method but they did not capped them to some specific amount first they will assess the retail traders first by some test and then they will be allowed to trade. For example, Hong Kong, Japan, Singapore etc.

I think it is a good step that will help all the new traders understand the real risks of trading and how much they can lose. This step is just to keep them aware and trade with the amount only that will not impact their lives if they lost those funds. No trader is going to leave Russia for this.

Well, if a country sets a minimum amount for new traders after testing like this, will it be very effective? I think it is not very effective. Because we can use any bankroll we want on any CEX and any platform. But I think it is a huge amount.But I don't know how much it can be in the case of Russia. Moreover, we can gain a lot of knowledge and practice using very little money if we want. However a new trader should acquire all the knowledge about trade and try his best.