Russia's Crypto Sector Could Be Legal by Year-End, Central Bank Deputy Says

Reports indicate that Russia's cryptocurrency sector could have everything necessary to begin operating within a legal framework by the close of 2026.

Interfax reported on Monday that central bank deputy governor Vladimir Chistyukhin stated regulations are progressing on schedule.

Russia has advanced its crypto legislative efforts this year. In August, President Vladimir Putin enacted a law that cements the regulation of digital currencies and digital rights domestically, though bitcoin remains prohibited as a payment method.

Russia's bitcoin and cryptocurrency sector could start operating under a legal framework before 2026 ends, according to the central bank's deputy governor.

Chistyukhin was quoted as saying, “Right now we are talking about creating subordinate regulation; it is very large and significant,” and added that the “fine-tuning” of internal rules could be carried out before the end of 2026.

The country's central bank has authorized bitcoin trading for the general public on Russian crypto exchanges. Current law specifies that unqualified investors may purchase up to 300,000 rubles ($3,582) worth of bitcoin and other digital assets via a single intermediary, while qualified investors face no such cap.

Russia's largest bank, Sberbank, intends to launch a bitcoin and cryptocurrency wallet along with digital asset custody services by December. In August, the bank projected that trading volume from its new crypto offering would reach 4 trillion rubles ($47 bln) within the first year.

The use of digital assets as a form of payment or legal tender has been banned in Russia since 2022.

Although Putin has previously seemed to commend bitcoin, its use as a medium of exchange and currency has been outlawed for several years.

Lawmakers have carved out an exception for international payments, likely as a mechanism to circumvent Western sanctions.

After Russia's invasion of Ukraine in 2022, the U.S. and European governments disconnected Russia from the SWIFT system, and Russian firms have turned to bitcoin to bypass those penalties, according to the nation's finance minister.