Russian Central Bank to Introduce Regulation for Financial Influencers

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The Central Bank of Russia (CBR) has proposed creating a registry of financial influencers, setting qualification requirements for them, and establishing accountability for the quality of the information they disseminate, according to a press release from the regulator.

To be included in the registry, financial influencers must have an economics degree, at least one year of experience in finance, experience working with financial instruments, membership in specialized self-regulatory organizations (SROs), and no violations of rules on price manipulation or criminal convictions. Additionally, their content will carry a special marking from the CBR.

The CBR noted that people often make financial decisions based on recommendations from social media, including advice from financial influencers who may lack sufficient expertise. It also highlighted instances where Telegram channels manipulated stock prices by encouraging audiences to buy or sell securities.

"Financial influencers frequently explain complex financial instruments in simplified terms that do not fully convey key information, including risks, leading to inflated expectations among investors. Following such advice can result in losses and disillusionment with the financial industry and investing. Currently, influencers are not held accountable for the quality of their content and are not required to compensate subscribers for losses incurred by following their advice or hidden advertisements," the CBR stated.