Russia is moving forward with a revised cryptocurrency regulation bill after lawmakers removed a controversial proposal that would have required users to disclose their crypto wallet addresses.
The updated legislation, approved by the State Duma’s Financial Market Committee for its second reading, introduces new rules for crypto investments, transfer monitoring, and digital asset usage while maintaining limits on retail participation.
The changes represent a shift in Russia’s approach toward regulating cryptocurrencies, focusing more on transaction transparency and oversight rather than direct wallet identification requirements.
Russia removes mandatory wallet address reporting
One of the most significant updates in the revised crypto bill is the removal of the requirement for cryptocurrency holders to declare their wallet addresses.
Under the earlier proposal, users would have been required to provide authorities with details about their personal crypto wallets. The updated version removes this obligation, meaning users would instead only need to report information related to:
- Cryptocurrency holdings
- Transaction volumes
- Asset activity levels
According to Anatoly Aksakov, the change aims to reduce the risk of sensitive financial information being exposed and potentially misused.
The revision comes as Russia attempts to create a regulated digital asset market while balancing financial oversight with user privacy concerns.
Crypto could become a tool for investment access
The revised bill also introduces new provisions allowing Russians to use cryptocurrency for purchasing certain financial products.
Under the proposed framework, digital assets could be used to acquire:
- Russian securities
- Digital financial assets (DFAs)
Digital financial assets are tokenized financial instruments issued under Russian law and operate separately from traditional cryptocurrencies.
The move could expand the role of crypto beyond trading and speculation by connecting digital assets with regulated investment markets.
Retail crypto investment limits remain
Despite the regulatory updates, lawmakers have kept restrictions on retail cryptocurrency investments.
Non-qualified investors would still face an annual limit of 300,000 rubles for purchasing highly liquid cryptocurrencies through approved intermediaries.
The restriction is designed to limit exposure for inexperienced investors while allowing regulated access to digital assets.
Qualified investors and institutional participants are expected to have broader opportunities under the new framework.
New controls introduced for large crypto transfers
The updated bill also includes new monitoring measures for certain cryptocurrency transfers.
Under the proposed rules, some large transactions involving:
- Overseas transfers
- Third-party recipients
- High-value movements
could be temporarily frozen for up to two days.
Authorities have not yet announced the exact transaction thresholds that would trigger these delays.
The measure is expected to give regulators additional time to review potentially suspicious activity and improve financial monitoring.
Russia considers wider access to global crypto markets
Looking ahead, lawmakers are also considering allowing licensed Russian financial institutions to interact with foreign cryptocurrency exchanges.
According to Aksakov, approved brokers and asset managers may eventually gain access to international crypto platforms, depending on additional regulatory conditions.
These conditions could include whether foreign jurisdictions are considered acceptable partners under Russian policy.
The proposal suggests Russia is moving toward a controlled integration of crypto markets rather than a complete restriction.
Crypto receives legal status as property
The broader legislation also continues to recognize cryptocurrency as property under Russian law.
This classification could provide legal protection for digital assets in situations involving:
- Bankruptcy proceedings
- Divorce settlements
- Asset disputes
However, cryptocurrency payments inside Russia would remain prohibited except for approved cross-border trade activities.
The framework would establish a regulated environment where crypto can be owned and invested in but cannot freely replace traditional currency for domestic payments.
Digital ruble rollout approaches
The crypto legislation comes as Russia prepares for another major digital finance milestone: the launch of its central bank digital currency.
The digital ruble is scheduled to roll out on September 1, with major banks and large businesses expected to begin supporting the new payment system.
The combination of crypto regulation and the digital ruble rollout shows Russia’s broader strategy of developing a controlled digital economy.
Final thoughts
Russia’s updated crypto bill reflects a more balanced regulatory approach compared with earlier proposals.
By removing mandatory wallet address disclosure while adding investment rules and transaction monitoring measures, lawmakers appear focused on creating oversight without completely limiting digital asset participation.
If approved through the remaining legislative stages, the bill could become the foundation of Russia’s future cryptocurrency market structure and define how individuals, businesses, and financial institutions interact with digital assets.
