Russia Proposes Criminal Penalties for Unlicensed Cryptocurrency Transactions, Up to 7 Years of Forced Labor

On April 21, DL News reported that the Russian government published a draft bill on the State Duma website, proposing to impose criminal liability for organizing the circulation of digital currencies without registration or without permission from the Central Bank of Russia, with a maximum penalty of 7 years of forced labor. The draft states that ordinary violators could face fines of up to approximately $4,000 and a maximum of 4 years in prison; operators of large cryptocurrency trading platforms could face fines of up to approximately $13,000, and responsible individuals could be sentenced to 5 to 7 years. The bill also proposes that the majority of cryptocurrency transactions be conducted through commercial bank apps and imposes penalties on industrial cryptocurrency miners for unreported activities. If approved by the State Duma and the President, the new regulations are set to take effect on July 1, 2027.