Russia Moves to Tighten Crypto Rules with New Anti-Fraud Bill
Russia is accelerating its efforts to regulate the cryptocurrency market, with the State Duma considering a bill to combat fraud and establish a legal framework for international transactions. President Vladimir Putin has openly supported digital assets like Bitcoin and facilitated mining within the country, aiming to leverage crypto for international settlements amidst sanctions. Forthcoming regulations will also see Russian banks offer crypto trading services, with investor tests and purchase limits.
Russia's parliament is advancing legislation aimed at combating cryptocurrency fraud and illegal digital asset transactions while establishing a clearer legal framework for their use in international payments. The bill, currently before the State Duma for its second and third readings, seeks to strengthen oversight of the country's growing crypto sector.
Anatoly Aksakov, chairman of the State Duma Committee on Financial Markets, said the legislation is designed to curb abuses while accommodating the lawful use of cryptocurrencies in cross-border transactions.
Although Russia banned the use of cryptocurrencies for domestic payments in 2022, it has increasingly embraced digital assets for international settlements as part of efforts to mitigate the impact of Western sanctions.
A 2023 law legalized the use of digital currencies for international payments, while President Vladimir Putin has backed the development of the country's crypto mining industry, citing Russia's abundant energy resources and favorable climate.
In 2024, Putin also praised Bitcoin's resilience, arguing that emerging payment technologies cannot realistically be prohibited.
Russian authorities are now preparing broader regulations that will govern cryptocurrency investment and trading. The proposed framework is expected to introduce mandatory investor competency tests and limits on the amount of cryptocurrency individuals can purchase.
Major Russian banks are also reportedly preparing to launch cryptocurrency trading services once the regulatory regime is finalized, signaling Moscow's continued efforts to integrate digital assets into its financial system while maintaining tighter state oversight.