MTS Fintech predicts a cleanup of the Russian crypto market: not everyone will survive
The Russian crypto industry has reached a turning point. The regulator can no longer ignore the scale of the market, and the only way out is to create clear rules of the game, rather than attempting a total ban. This statement by Roman Prokopyev, First Vice President of MTS Fintech, made in the context of discussing a new bill submitted to the State Duma on April 1, makes everything crystal clear.
In essence, we are witnessing the long-awaited maturation of the market. Until now, the sector has developed chaotically, creating products in a legal vacuum. Now, with the emergence of a legislative framework, natural selection will begin. Not all companies will be able to adapt to the new harsh realities. Some players, accustomed to "gray" schemes and a lack of oversight, will simply disappear from the business landscape.
MTS Fintech Strategy: Three Pillars of Survival
MTS Fintech, apparently, prepared for this moment in advance. The company has years of experience testing fintech solutions in foreign jurisdictions with already established legislation. The current task is to transfer these developments to Russian soil. According to Prokopyev, three key tasks need to be solved for success:
- Creating a high-quality client product with an intuitive interface.
- Ensuring maximum security of user assets. Unlike traditional banking, the loss of digital coins due to storage issues is irreversible.
- Full compliance with the strict requirements of the state regulator. The company has fundamentally avoided working in "gray" or "black" zones, preferring to observe processes from the sidelines if operations were outside the legal framework.
This approach seems to be the only correct strategy in the new reality. The market is transitioning from the "Wild West" to civilized tracks. Those who cannot ensure transparency and security at a level comparable to traditional financial institutions will be forced to leave. This is a painful but necessary process for the healthy development of the entire industry.
My analysis: We are on the verge of market consolidation. Large players with resources and a compliance culture, such as MTS Fintech, will strengthen their positions. Small and medium-sized projects that existed due to regulatory uncertainty will face critical pressure. Investors should take a closer look at their portfolios: in the next 1-2 years, we will see a significant reduction in the number of active crypto companies in the Russian jurisdiction.