Russia has moved a step closer to overhauling its cryptocurrency regulations after the State Duma’s Financial Market Committee approved the final version of the government’s crypto bill ahead of its second parliamentary reading. The updated legislation introduces several notable changes, including simplified reporting requirements for crypto holders, broader use of digital assets in regulated financial markets, and a framework that could eventually allow licensed Russian firms to access foreign cryptocurrency exchanges.
The latest revisions were announced by Financial Market Committee Chairman Anatoly Aksakov through his official Telegram channel. While the State Duma’s legislative database has yet to reflect the update following the bill’s first reading in April, the committee’s endorsement marks significant progress toward establishing a comprehensive legal framework for digital assets in Russia.
Key Takeaways
- Russia’s Financial Market Committee approved the revised version of the country’s crypto bill for its second reading.
- The updated draft removes the requirement for crypto holders to disclose wallet addresses, requiring only wallet balances and transaction volumes.
- Investors would be allowed to purchase Russian securities and Digital Financial Assets (DFAs) using cryptocurrencies.
- Licensed Russian brokers and asset managers could eventually gain access to approved foreign crypto exchanges, subject to additional regulatory conditions.
- Retail investment limits remain unchanged, while the bill introduces a new provision allowing authorities to delay certain large outbound crypto transfers for up to two days.
Reporting Rules Receive a Major Revision
One of the most significant changes in the revised bill concerns how cryptocurrency holdings will be reported.
Earlier drafts required users to disclose their wallet addresses alongside other information. The updated version removes that obligation, meaning investors would instead report only wallet balances and transaction activity.
According to Aksakov, the amendment was designed to reduce the risk of exposing sensitive wallet information that could potentially compromise user security while still allowing authorities to monitor financial activity for regulatory and tax purposes.
The adjustment reflects a more practical reporting framework without eliminating government oversight of digital asset transactions.
Crypto Gains a Broader Role in Regulated Finance
The revised legislation also expands the legal use of cryptocurrencies within Russia’s financial markets. Under the proposal, investors would be permitted to use cryptocurrencies when purchasing traditional securities and Russian Digital Financial Assets (DFAs). DFAs are tokenized financial instruments issued under Russia’s existing legal framework and remain distinct from decentralized cryptocurrencies such as Bitcoin.
The measure signals Russia’s intention to integrate blockchain based financial products into regulated capital markets while maintaining separate legal treatment for cryptocurrencies and domestically issued digital assets.
Licensed Firms Could Access Foreign Crypto Markets
Another notable provision would eventually allow licensed Russian brokers and asset managers to trade through foreign cryptocurrency exchanges and overseas crypto service providers.
Access, however, would remain subject to additional requirements. Aksakov indicated that regulators would consider factors such as whether the foreign jurisdiction is regarded as “friendly” under Russian policy before granting approval.
The proposal highlights Russia’s effort to balance international market participation with broader geopolitical and regulatory considerations.
Retail Restrictions Remain in Place
Despite the broader reforms, lawmakers have retained investment limits for non qualified investors.
Retail participants would continue to face an annual purchase cap of 300,000 rubles through a single licensed intermediary, with trading restricted to the country’s most liquid cryptocurrencies. The updated draft also introduces a new safeguard allowing authorities to suspend certain large cryptocurrency transfers involving overseas recipients or third parties for up to two days. While Aksakov confirmed the provision, he did not specify the transaction threshold that would trigger the temporary delay.
He also did not clarify whether lawmakers intend to preserve an earlier proposal that could restrict the use of non custodial cryptocurrency wallets controlled exclusively by users.
More Approvals Are Still Required
Although committee approval represents an important milestone, the legislation has not yet become law. The bill must still pass its second and third readings in the State Duma before moving to the Federation Council for review. It would then require President Vladimir Putin’s signature before taking effect.
Earlier versions of the legislation classified cryptocurrency as legal property, providing protections in areas such as bankruptcy and divorce proceedings while maintaining Russia’s prohibition on using cryptocurrencies for most domestic payments outside approved cross border transactions.
The legislative process also comes ahead of the Bank of Russia’s planned rollout of the digital ruble on September 1, when major financial institutions and large merchants are expected to begin supporting the country’s central bank digital currency.
Conclusion
The Financial Market Committee’s approval moves Russia closer to establishing one of its most comprehensive cryptocurrency regulatory frameworks to date. By simplifying reporting requirements, expanding the legal use of cryptocurrencies in regulated financial products, and laying the groundwork for licensed firms to participate in international crypto markets, lawmakers appear to be pursuing a more structured approach to digital asset regulation.
The bill still faces several legislative hurdles before becoming law, but its progress suggests Russia is continuing to build a regulated digital asset ecosystem that combines tighter oversight with broader institutional participation. Market participants will now be watching closely as the legislation advances to its second reading and beyond.
