Putin Signs Crypto Law, Giving Russia First Comprehensive Market Rules
Summary
- Putin signed a crypto regulation law, giving Russia its first comprehensive regulatory framework for the cryptocurrency market.
- Under the new law, retail investors can buy only highly liquid crypto assets with an annual limit of 300,000 rubles, while qualified investors can invest in all crypto assets without a purchase cap.
- The law requires crypto exchanges to maintain minimum capital of 15 million rubles and register with authorities. It will take effect on September 1, with some provisions to be phased in through 2027.
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Russia has put in place its first comprehensive regulatory framework for the cryptocurrency market after President Vladimir Putin signed a law governing the broader digital-asset sector.
The Block reported on August 5 that Putin signed the legislation covering participants across the crypto market, including exchanges, custodians, brokers, clearing institutions and investors.
Under the new law, retail investors will be allowed to buy only highly liquid crypto assets, with annual purchases capped at 300,000 rubles, or about $3,700, through each intermediary such as an exchange. The legislation does not specify which crypto assets qualify.
Qualified investors, by contrast, will be able to invest in all crypto assets without a purchase limit. Both retail and qualified investors must undergo suitability screening before trading, and retail investors can obtain qualified status based on factors including their trading history.
Crypto exchanges must maintain at least 15 million rubles, or about $185,000, in capital and register in a special government-run registry. They must also join a self-regulatory organization for the financial market.
The use of crypto assets as payment for goods and services will remain banned in Russia. Still, crypto will be allowed for cross-border payments in foreign trade transactions between residents and non-residents. Russia has permitted the use of crypto in international trade since 2024 in response to Western economic sanctions.
The law will take effect on September 1. Some rules on the issuance and circulation of crypto assets will be introduced from September 1, 2027. Existing exchanges will be given a grace period until March 1, 2027.
The legislation marks a shift in Russia's digital-asset policy. The State Duma, the lower house of parliament, passed the bill last month, and the Bank of Russia has continued refining the framework by recently publishing draft rules for exchanges and digital-asset custodians.
Suehyeon Lee
shlee@bloomingbit.ioI'm reporter Suehyeon Lee, your Web3 Moderator.