The Bank of Russia has eased its opposition to cryptocurrency, at least in public statements. In the past, the regulator has strongly opposed digital assets, citing risks and lack of jurisdictional oversight. However, recent remarks suggest a shift, likely influenced by President Vladimir Putin’s differing stance. This change is limited in scope, Ru.Finance Magantes reported.

The central bank announced today (Wednesday) that it has submitted cryptocurrency regulation Regulation Like any other industry with a high net worth, the financial services industry is tightly regulated to help curb illicit behavior and manipulation. Each asset class has its own set of protocols put in place to combat their respective forms of abuse.In the foreign exchange space, regulation is assumed by authorities in multiple jurisdictions, though ultimately lacking a binding international order. Who are the Industry’s Leading Regulators?Regulators such as the UK’s Financial Conduct Authority ( Like any other industry with a high net worth, the financial services industry is tightly regulated to help curb illicit behavior and manipulation. Each asset class has its own set of protocols put in place to combat their respective forms of abuse.In the foreign exchange space, regulation is assumed by authorities in multiple jurisdictions, though ultimately lacking a binding international order. Who are the Industry’s Leading Regulators?Regulators such as the UK’s Financial Conduct Authority ( Read this Term proposals to the government. The move follows a directive from the president. The proposals include an experimental legal regime (ELR) that would allow certain investors to buy and sell cryptocurrencies Cryptocurrencies By using cryptography, virtual currencies, known as cryptocurrencies, are nearly counterfeit-proof digital currencies that are built on blockchain technology. Comprised of decentralized networks, blockchain technology is not overseen by a central authority.Therefore, cryptocurrencies function in a decentralized nature which theoretically makes them immune to government interference. The term, cryptocurrency derives from the origin of the encryption techniques that are employed to secure the netw By using cryptography, virtual currencies, known as cryptocurrencies, are nearly counterfeit-proof digital currencies that are built on blockchain technology. Comprised of decentralized networks, blockchain technology is not overseen by a central authority.Therefore, cryptocurrencies function in a decentralized nature which theoretically makes them immune to government interference. The term, cryptocurrency derives from the origin of the encryption techniques that are employed to secure the netw Read this Term. The regime would last for three years.

Restricted Access to Investors

The Bank of Russia intends to allow only “highly qualified” investors to participate. This status will be granted to individuals with more than 100 million rubles in securities and deposits or an annual income exceeding 50 million rubles. Companies already classified as qualified investors under Russian law will also be eligible.

Financial institutions seeking exposure to cryptocurrency will be subject to regulatory requirements. These rules will depend on the risk level of the digital assets involved.

Bank of Russia to allow limited crypto purchases for investors. pic.twitter.com/2e8AbvysAQ

— TheCryptoBasic (@thecryptobasic) March 12, 2025

Ban on General Crypto Transactions

Despite the shift, the Bank of Russia maintains that private cryptocurrencies are highly volatile and lack guarantees from any jurisdiction. It does not recognize cryptocurrency as a legal payment method.

The regulator proposes banning cryptocurrency transactions between Russian residents outside the ELR. It also plans to introduce penalties for violations.

Outside the ELR, qualified investors may invest in securities, derivatives, and digital financial assets linked to cryptocurrency prices. However, these investments must not involve the direct transfer of digital assets.

Russia Embraces Cryptocurrencies to Bypass Sanctions

Earlier, President Putin stated that Bitcoin's rise is an inevitable technological advancement. He emphasized that cryptocurrencies offer a strategy to reduce dependence on the dollar and counter sanctions. Speaking at the VTB Investment forum, Putin expressed confidence that digital currencies will evolve, regardless of the dollar, as reported by Finance Magnates.

He noted that the need for cost reduction and improved reliability will drive the growth of Bitcoin and similar tools, reflecting a broader shift in Russia’s financial policy to embrace cryptocurrencies as a means to bypass Western restrictions.