Russia Allows Crypto Investment Products Amid 51% Transaction Surge

Russia’s central bank has announced a significant shift in its stance on cryptocurrencies, allowing financial institutions to offer crypto-linked investment products to qualified investors. This move, detailed in a May 28 statement, permits instruments such as derivatives, tokenized securities, and other digital financial products that reflect crypto price movements. However, these offerings must be non-deliverable, meaning investors can only speculate on prices without receiving or holding actual digital assets.

The Bank of Russia emphasized the importance of a conservative risk assessment framework for credit institutions before offering these instruments. The regulator underscored the need to safeguard financial stability while exploring controlled exposure to crypto-linked products. This development is part of Russia’s broader efforts to build a regulatory framework for digital assets, although regulations around exchanges and the wider use of cryptocurrencies are still in progress.

The policy shift follows a significant increase in domestic crypto activity. According to the central bank’s latest Financial Stability Review, crypto transaction volumes in Russia jumped by more than 51% in late 2024 and early 2025 compared to previous quarters. During that period, Russian users traded 7.3 trillion rubles worth of crypto across major exchanges. By the end of March 2025, Russian crypto users held over 827 billion rubles on crypto platforms, with Bitcoin accounting for 62.1% of this value, followed by Ethereum at 22%, and stablecoins like USDT and USDC at 15.9%.

The central bank attributed the surge in crypto activity to growing global confidence in digital assets, particularly citing the United States’ recent push for crypto regulation as a key driver of renewed market interest. Under President Donald Trump, US authorities have embraced a slew of pro-crypto initiatives that would lead to the creation of a national Bitcoin reserve and the broader growth of the emerging industry. However, Russia’s central bank warned that increased regulation, especially around stablecoins, could raise compliance risks. The Apex bank noted that Russian firms may face added pressure if US-based issuers begin blocking tokens linked to sanctioned entities.