Putin signs law establishing regulatory framework for cryptocurrency trading in Russia

Russian President Vladimir Putin has signed a landmark law establishing a comprehensive regulatory framework for cryptocurrency trading, set to take effect on September 1, 2026. While the law maintains a strict ban on domestic crypto payments, it permits regulated retail trading capped at 300,000 rubles ($3,700) annually for untested investors, allows unlimited trading for qualified investors, and legalizes cross-border settlements to bypass Western sanctions.

Russian cryptocurrency regulatory framework

• ▪The Russian cryptocurrency regulatory legislation is scheduled to take effect on September 1, 2026.
• ▪Certain provisions of the Russian cryptocurrency law governing the issuance and circulation of digital assets will come into force on September 1, 2027.
• ▪Russian President Vladimir Putin signed a landmark law establishing a regulatory framework for the cryptocurrency market in Russia.

Retail investor purchase caps

• ▪Under the new Russian regulatory framework, retail investors are permitted to purchase the most liquid cryptocurrencies up to a cap of 300,000 rubles ($3,700) per year per intermediary.
• ▪The official Russian state-run reports did not specify which specific cryptocurrency assets qualify as the most liquid for retail investment.

Qualified investor status requirements

• ▪Both retail and qualified cryptocurrency investors in Russia are required to pass special suitability testing under the new regulatory framework.
• ▪Retail investors in Russia can obtain qualified investor status based on their cryptocurrency transaction history.
• ▪Qualified investors in Russia are permitted to purchase any cryptocurrency assets with no investment limits under the new law.

Crypto exchange licensing requirements

• ▪The Russian cryptocurrency law provides a grace period until March 1, 2027, for existing crypto exchanges to comply with the new regulations.
• ▪Crypto exchanges in Russia must join a financial market self-regulatory organization to operate under the new law.
• ▪Crypto exchanges operating in Russia are required to join a special registry and maintain a minimum equity requirement of 15 million rubles ($185,200).

Cross-border crypto settlement policy

• ▪The new Russian law permits cross-border cryptocurrency settlements for foreign trade contracts between residents and non-residents.
• ▪Russia reportedly began allowing cryptocurrency in international trade in 2024 as a mechanism to counter Western sanctions.

Domestic payment ban maintained

• ▪The newly signed Russian law maintains the domestic ban on using cryptocurrency as a means of payment or legal tender within Russia.
• ▪The legislation continues to prohibit the use of cryptocurrencies to pay for goods and services domestically within Russia.