Russia is on the verge of introducing its first comprehensive regulatory framework for cryptocurrencies such as Bitcoin, with lawmakers pushing to finalize the draft for a parliamentary vote by the end of June. Anatoly Aksakov, head of the State Duma Committee on the Financial Market, indicated that these long-awaited rules could be approved as early as this summer. If successfully passed, the framework is slated to formally take effect one year later, opening up regulated Bitcoin and other cryptocurrency trading to both qualified and non-qualified investors starting July 1, 2027.

The proposed regime outlines specific restrictions for retail investors. Non-qualified traders will face an annual purchase cap of 300,000 rubles, approximately $3,900, and will only be allowed to acquire a limited selection of cryptocurrencies deemed by regulators to be the "most liquid." Conversely, professional and qualified investors will have the flexibility to trade cryptocurrencies in unlimited amounts, with the notable exception of privacy-focused tokens like Monero and Zcash. Russian authorities have consistently justified the exclusion of such assets by citing concerns over anonymity and compliance with anti-money laundering (AML) standards.

Regarding the specific cryptocurrencies permitted for retail trading, Alexandra Fedotova, a lawyer at Moscow-based firm White Stone, anticipates that the Central Bank of Russia will compile a shortlist of approved assets. Fedotova commented that the Central Bank is likely to include the top five to ten most traded cryptocurrencies on major exchanges, explicitly stating that "Bitcoin and ether will definitely be included." She also suggested that SOL or TON might be added due to their significant popularity within Russia, with all other cryptocurrencies being reserved exclusively for qualified investors.

The framework also addresses the acquisition of cryptocurrencies from abroad, permitting Russian residents to purchase Bitcoin using foreign accounts and transfer these assets back to domestic platforms, provided all such transactions are duly reported to tax authorities. Stablecoins are expected to receive distinct legal treatment. Regulators are likely to classify dollar-pegged tokens as instruments for cross-border economic activity, potentially clarifying their legal use in international settlements while maintaining existing domestic restrictions on their use for payments.

Beyond trading, the draft legislation aims to establish formal rules governing the issuance, Bitcoin and crypto mining, and overall circulation of digital assets. Importantly, it will reaffirm Russia's long-standing ban on using cryptocurrencies for domestic payments. This stance has been consistently defended by the central bank, even as it has gradually softened its position on crypto trading.

To ensure compliance and deter illicit activities, Aksakov announced plans for additional legislation that will define enforcement measures. These measures are expected to encompass administrative, financial, and potentially criminal liability for illegal activities within the crypto sector. Penalties for unlawful operations by intermediaries are projected to mirror those currently applied to illegal banking activity. Under the new regime, existing licensed exchanges and brokers will be permitted to continue their operations, while platforms and custodial services currently operating in a legal gray area will be mandated to obtain new licenses specifically tailored to their particular activities, bringing them into full regulatory compliance.