Russia passes sweeping crypto market law with cross-border trade rules

Russia’s State Duma has approved a broad cryptocurrency market bill in its second and third readings, moving the country closer to a regulated system for crypto trading, custody and cross-border transactions.

Summary

• Russia’s State Duma approved crypto market rules covering licensed intermediaries, investor limits, and foreign trade.
• Domestic crypto payments remain banned, while approved digital assets can support regulated cross-border commercial settlements.
• Major Russian banks are preparing custody and trading services ahead of the new regulatory framework.

Bill No. 1194918-8, titled “On Digital Currency and Digital Rights,” creates rules for companies operating in Russia’s digital asset market. The framework covers exchanges, brokers, custodians and other intermediaries while placing the Bank of Russia at the center of market supervision. The legislation still requires approval from the Federation Council before it can reach President Vladimir Putin for signature.

The vote follows months of revisions after lawmakers approved the bill in its first reading in April. As previously reported, lawmakers scheduled the final State Duma readings for July 21 after the Financial Market Committee backed the updated text.

Russia sets rules for exchanges, brokers and crypto investors

The legislation creates a formal route for approved financial companies to provide cryptocurrency services. Licensed exchanges, brokers, custodians and other intermediaries would operate within the new framework, replacing much of the unregulated activity that currently takes place outside Russia’s financial system.

Russia’s Finance Ministry previously estimated that domestic cryptocurrency trading reaches around 50 billion rubles, or roughly $640 million, per day. Officials said much of that activity currently takes place outside formal oversight. The new system seeks to bring trading and custody into regulated channels.

Retail access will also face limits. Under the latest framework described before the final vote, non-qualified investors would be able to purchase up to 300,000 rubles worth of approved cryptocurrencies annually through a regulated intermediary. Qualified investors would receive higher limits under separate rules.

Lawmakers also removed an earlier proposal that would have required crypto holders to disclose their wallet addresses. The revised framework instead focuses on information such as balances and transaction volumes. Certain large transfers abroad or to third parties could also face delays of up to 48 hours.

Crypto remains banned for domestic payments

The legislation does not make Bitcoin or other cryptocurrencies legal payment methods inside Russia. Businesses and consumers will still be prohibited from using crypto to pay directly for ordinary goods and services, keeping the ruble as the country’s domestic payment unit.

However, the rules allow a different approach to international trade. Russian companies will be able to use approved digital assets for certain cross-border transactions under the regulated system. Russia has already tested cryptocurrency settlements for foreign trade through an experimental legal regime.

Anatoly Aksakov, chairman of the State Duma Committee on Financial Markets, said lawmakers had worked to reflect industry feedback while drafting the legislation. Before the final readings, he said companies supplying goods to Russia should be able to use crypto for international transactions without excessive legal barriers.

The cross-border provisions come as Western governments increase scrutiny of Russia-linked digital asset flows. As crypto.news reported in June, the European Commission proposed wider restrictions on overseas crypto platforms accused of helping sanctioned Russian entities move funds.

Russian banks prepare for regulated crypto services

Major Russian financial institutions have already started preparing products for the new market structure. Sberbank plans to introduce a crypto wallet and digital asset custody services after the regulatory framework takes effect.

The state-backed lender is also considering giving clients access to foreign cryptocurrency exchanges, depending on the final rules. VTB and T-Bank have announced plans for digital asset custody infrastructure, while Moscow Exchange has also shown interest in starting regulated crypto services.

Alfa-Bank has taken similar steps. The lender has been testing crypto trading with a limited group of eligible investors and plans to develop its own digital asset depository. Its wider rollout will depend on licensing requirements and the final regulatory timetable.

The banking activity follows Russia’s wider shift toward regulated digital assets. The country has moved from keeping much of the crypto market outside traditional finance toward allowing licensed institutions to provide trading and custody under central bank supervision.

Sept. 1 rollout starts a longer transition period

The main framework is expected to begin taking effect on Sept. 1, 2026. Market participants would then receive a transition period until July 1, 2027, to complete registration, obtain required licenses and adjust their internal systems to the new rules.

The timetable also places the crypto rules alongside another major digital finance rollout. Russia plans to begin the broader introduction of its digital ruble on Sept. 1, with major banks and large retailers required to support the central bank digital currency in stages.

Russia is also working on rules for stablecoins. As crypto.news previously reported, policymakers have explored a separate framework for fiat-backed digital assets, particularly for international settlement.

The State Duma vote moves the broader cryptocurrency framework past its main lower-house stage. The Federation Council must still consider the legislation before it can be presented to Putin. If the remaining steps proceed on schedule, Russia will begin moving exchanges, custodians, brokers and other market participants into the new regulatory system from Sept. 1.