Russia’s government has approved a package of draft legislation aimed at formalizing the circulation of digital currencies and digital rights within the country. The Finance Ministry announced on Monday that the bills had received government approval, marking a significant step toward a structured regulatory framework for crypto assets. Under the new rules, transactions involving digital currencies without the use of regulated intermediaries will be prohibited. The package also introduces amendments to existing Russian legislative acts and changes to the country’s administrative offenses code.
The framework draws a clear distinction between retail and qualified investors. Non-qualified retail investors will be required to pass a test before participating and will be limited to purchasing the most liquid digital currencies, as defined by the Bank of Russia. Their annual purchases through any single intermediary are capped at 300,000 rubles, equivalent to approximately $3,700. Qualified investors will face fewer restrictions and enjoy broader access to digital asset markets.
The legislation establishes a licensing regime covering entities involved in crypto operations, including digital exchanges and custodial service providers. Banks and brokers will also be permitted to engage in such activities, provided they meet specific prudential requirements set by regulators. This approach signals that Moscow intends to bring crypto activity under state supervision rather than prohibit it entirely. Administrative liability for violations by organizations engaged in exchange activity is also included in the package.
One notable provision allows Russian residents to purchase crypto abroad using foreign accounts, as long as those transactions are reported to tax authorities. This suggests the government’s primary goal is to domesticate and monitor crypto trading rather than impose an outright ban. The move reflects a broader effort to police unlicensed intermediation while preserving some degree of access for participants who operate through foreign channels.
Not everyone views the framework positively. Exved founder Sergey Mendeleev told Cointelegraph that the rules risk pushing activity into unregulated channels rather than bringing it under state control. He argued that while much of the world is moving toward liberalizing access to equity markets through tokenization, Russia is instead applying a securities market regulatory model to crypto. Mendeleev compared the likely outcome to the experience with casinos, suggesting that demand will not diminish but activity will migrate to online and underground venues beyond state reach.
The approved package represents a comprehensive attempt to reshape how digital assets are handled domestically, touching on currency circulation, digital rights, and enforcement mechanisms. Whether the framework succeeds in formalizing the sector or inadvertently drives it underground remains a key concern among industry observers. The bills will now proceed through the remaining legislative steps before taking effect.
Originally reported by CoinTelegraph.
