Russia Proposes Legal Framework for Crypto Trading, Easing Restrictions

Russia’s central bank has unveiled a draft framework to legalize and regulate cryptocurrency trading for both individuals and institutions, signaling a gradual softening of its stance toward digital assets. Despite the move, the regulator continues to emphasize the risks associated with crypto investments.

“They are not issued or guaranteed by any jurisdiction and are subject to increased volatility and sanctions risks,” the central bank said in a press release. “When deciding to invest in crypto assets, investors should understand that they assume the risk of potential loss of their funds.”

The proposal clarifies the legal status of digital assets in Russia. According to the framework, “digital currencies and stablecoins are recognized as monetary assets; they can be bought and sold, but they cannot be used for domestic payments.”

Regulated Access for Individuals and Institutions

Under the draft rules, ordinary Russian citizens would be able to buy and sell cryptocurrencies through licensed platforms. Nonqualified investors could purchase up to 300,000 rubles (around $3,300) per intermediary annually, provided they pass a risk-awareness test. Qualified investors would be allowed to trade without volume limits but would also face knowledge assessments. Privacy-focused cryptocurrencies that conceal transaction data would remain prohibited.

The framework grants legal recognition to crypto services provided by existing financial firms, including exchanges, brokers, and asset managers, as long as they operate under current licenses. It also introduces rules for digital asset custodians and wallet providers.

Expanding Crypto Access and Reporting Rules

The proposal would allow Russian residents to purchase cryptocurrencies abroad via foreign accounts and later transfer them to licensed domestic platforms, with mandatory tax reporting. This marks a notable reversal from the Bank of Russia’s previous restrictions.

The framework also supports broader adoption of Russian-issued digital financial assets (DFAs), including circulation on public networks and potential access for foreign investors, positioning the country to integrate crypto trading under regulated conditions.

Reports suggest major Russian financial institutions are preparing to offer spot crypto trading under the new framework, reflecting a cautious but clear shift toward regulated crypto markets.

This initiative follows Russia’s growing recognition of cryptocurrency as a strategic economic sector, complementing earlier moves such as acknowledging crypto mining as a strategic asset.