Russia Unveils Two-Tier Crypto Framework to Broaden Access Under Stricter Controls

Russia's Central Bank Proposes Crypto Framework for Retail and Institutional Investors

Russia's central bank has taken a significant step toward normalizing cryptocurrency access by proposing a framework that would allow both qualified and non-qualified investors to participate in the market under new conditions. The proposal, announced on December 23, 2025, sets limits on retail investor exposure while expanding opportunities for professional investors. This move follows growing pressure to regulate a market that has operated largely in the gray area for years.

Under the proposed rules, non-qualified investors would be permitted to purchase a limited set of liquid cryptocurrencies, defined in future legislation, after passing a knowledge test. Their annual investment would be capped at 300,000 rubles (approximately $3,834) through a single intermediary. The central bank emphasized that cryptocurrencies remain high-risk instruments and reiterated their exclusion from domestic payment systems.

Qualified investors, by contrast, would face fewer restrictions and broader market access, excluding privacy-focused cryptocurrencies that conceal transaction data. These investors would also need to pass a risk-awareness test but would not be subject to volume limits. The central bank said it would allow both groups to trade through existing licensed exchanges, brokers, and asset managers.

A Shift in Stance and Regulatory Structure

The proposal signals a shift in Russia's approach to cryptocurrencies after years of strict regulatory caution. First Deputy Governor Vladimir Chistyukhin had previously hinted at the potential removal of the "super-qualified investor" threshold, which required individuals to have assets or income exceeding 100 million rubles. This threshold was introduced earlier in 2025 when the central bank and finance ministry launched a state-backed crypto exchange.

The central bank's current proposal aims to bring crypto trading under formal financial supervision while maintaining tight controls over retail access. The new framework would also allow Russian residents to purchase cryptocurrencies abroad using foreign accounts, with mandatory tax reporting for cross-border transactions. This contrasts with the central bank's earlier stance, which treated foreign crypto activity with greater suspicion.

Legal Recognition and Market Implications

Cryptocurrencies and stablecoins would be recognized as monetary assets under the framework, but they would not be permitted for domestic transactions. This distinction aligns with the central bank's long-standing position that digital assets should not serve as an alternative to the ruble in everyday commerce. The central bank also reiterated its concerns about volatility, sanctions risks, and the potential for illicit financial activity.

The proposal includes a timeline for implementation, with the central bank aiming to finalize the legislative framework by July 1, 2026. By July 1, 2027, illegal crypto intermediation will be treated with the same penalties as illegal banking operations. This phased approach gives market participants time to comply with new rules and align their operations with licensing and disclosure requirements.

Global Comparisons and Domestic Strategy

Russia's approach to crypto regulation is distinct from both the U.S. and the European Union. Unlike the EU's Markets in Crypto-Assets (MiCA) framework, which seeks to create a unified regulatory system, Russia is formalizing a two-tier model that separates retail and institutional participation. The U.S. continues to grapple with fragmented and evolving oversight, with multiple agencies vying for jurisdiction over crypto markets.

Domestically, the Russian government is positioning regulated crypto trading as an extension of its traditional financial infrastructure. While the central bank maintains a cautious stance, some officials and economists have advocated for leveraging the crypto industry as a geopolitical tool and economic asset. This includes promoting Bitcoin mining as a potential export and exploring the integration of digital assets into the state's financial operations.

The Bank of Russia's proposal represents a measured attempt to balance innovation with risk control. By setting strict retail limits and expanding access for qualified investors, the central bank is signaling that it recognizes the growing role of cryptocurrencies in the global economy while maintaining a strong emphasis on financial stability.