Retail Investors Face Tight Annual Cap
Russia’s State Duma has approved a sweeping new law that for the first time will regulate the country’s cryptocurrency market, setting a strict annual purchase cap for non-professional investors.
Qualified investors—those meeting specific criteria set by Russian regulators—will face much higher ceilings: up to 3 million rubles annually for purchases and 1 million rubles for transfers abroad. The law also distinguishes between domestic and foreign transactions, imposing a 100,000-ruble limit (roughly $1,270) on transfers abroad for non-qualified participants. These limits are designed to restrict unsophisticated investors’ exposure while permitting larger-scale actors more freedom.
Retail investors will be limited to purchasing no more than 300,000 rubles (about $3,800) in crypto per year through a single intermediary.
Only Registered Exchanges Allowed by 2027
The new framework mandates that only organizations listed in a special state registry will be allowed to operate as cryptocurrency exchanges in Russia. However, there is a transition period: unregistered firms can continue operating until July 1, 2027. After this date, all crypto exchange activity must be conducted through entities officially recognized and licensed by the Bank of Russia.
To obtain a license, companies must meet specific requirements—including minimum capital of 15 million rubles (about $190,000)—and join a self-regulatory body. The Bank of Russia will oversee five categories of participants: exchanges, brokers, management companies, depositories, and exchangers. On paper this opens the market to regulated actors; in practice, it may squeeze out smaller or unauthorized players.
Crypto Payments Remain Strictly Prohibited
Despite these moves toward regulation, the law maintains Russia’s ban on using cryptocurrencies for payments within the country.
The ruble remains the only lawful currency for goods and services domestically. Banks and other financial institutions are prohibited from advertising or promoting crypto payments. The prohibition on crypto as legal tender is explicit: digital currencies cannot be used to settle transactions for products or services inside Russia’s borders. This stance is reinforced by rules requiring banks to block transfers if they suspect an entity is running an unauthorized exchange.
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Limited Crypto Use for Foreign Trade
There are exceptions to the payment ban—but only in narrowly defined scenarios. Digital currencies may be used for settlements under foreign trade contracts and transactions involving mined cryptocurrency. In addition, payments required by digital asset platforms or settlements involving securities or other digital assets are permitted under the new law.
This carve-out appears designed to facilitate cross-border trade amid ongoing sanctions pressure on Russia’s economy. It also reflects Moscow’s interest in using blockchain-based assets as alternatives in international commerce where traditional rails may be restricted.
Bank of Russia Gains Sweeping Oversight
According to coindesk.com, the Bank of Russia will serve as the primary regulator and licensing authority under this new regime. The central bank will decide which cryptocurrencies are allowed for trading by retail investors; only those with a market capitalization above 5 trillion rubles (about $65 billion) and at least five years’ trading history on licensed foreign exchanges will qualify—currently just Bitcoin and Ethereum fit these criteria.
The law guarantees judicial protection for holders of digital currencies regardless of whether their assets were previously declared. Most provisions are scheduled to take effect on September 1, 2026, but some rules—such as registry requirements—kick in earlier. Final approval from the Federation Council and President Vladimir Putin is still needed before full implementation can begin; this process is expected to conclude within two weeks.
What could still change
If the Federation Council or President Vladimir Putin fails to approve bill No. 1194918-8 in the coming weeks, the law’s scheduled September 1 effective date would not be met and the new regulatory framework would not take effect as planned.
