Russia Passes Crypto Framework: Central Bank Oversight & Cross-Border Trade Legalized

Russia’s State Duma completed the second and third readings of bill No. 1194918-8 on July 21, 2026. The legislation is titled “On Digital Currency and Digital Rights.” It now moves to the Federation Council for approval, followed by President Vladimir Putin’s signature. Most provisions take effect September 1, 2026, with stricter enforcement arriving July 1, 2027.

JUST IN: 🇷🇺Russia’s Parliament passes the “Digital Currency and Digital Rights Law,” regulating crypto exchanges, brokers, custodians and asset managers.

The law permits crypto for cross-border trade but bans domestic payments.

It is set to take effect September 1, 2026,… https://t.co/Tt01XmoGDK

— Coin Bureau (@coinbureau) July 21, 2026

What the Bill Actually Does

The law recognizes cryptocurrency as property rather than money under Russian civil code. As a result, crypto holdings gain judicial protection in courts, bankruptcy filings, and divorce proceedings. However, the bill does not authorize crypto as a general means of domestic payment. Instead, it builds a licensed market structure around trading, custody, and cross-border settlement. The Central Bank of Russia becomes the primary regulator with authority to license participants and whitelist eligible tokens.

The framework introduces five categories of licensed intermediaries. These include exchanges, brokers, management companies, depositories, and exchangers. All crypto transactions must eventually route through these regulated entities. Additionally, banks face a prohibition on sending payments to unofficial or foreign exchanges without a licensed Russian intermediary. By July 2027, direct peer-to-peer transactions and foreign platform usage face broad restrictions.

Cross-Border Trade as the Core Use Case

The most geopolitically consequential provision permits digital currencies in foreign trade operations. Russian companies gain a formal channel for cross-border settlements using crypto. Notably, this includes trade with partners outside traditional financial rails, an obvious workaround for sanctions pressure. Deputy Prime Minister Dmitry Grigorenko’s office confirmed that legal international crypto deals remain permitted through licensed intermediaries. This includes selling crypto abroad and settling foreign economic activity.

Officials have framed cross-border trade as the bill’s primary economic rationale. Meanwhile, domestic retail crypto use remains tightly controlled. The design prioritizes state-visible flows for trade while keeping consumer speculation on a short leash. Consequently, the framework functions less as legalization and more as controlled integration.

Domestic Payment Ban Stays, Fines Coming

The bill preserves the ban on paying for goods and services with crypto inside Russia. Furthermore, a parallel measure introduces administrative fines starting in 2026. Individuals face penalties of 100,000 to 200,000 rubles, while legal entities face 700,000 to 1,000,000 rubles. Authorities can also confiscate the crypto used as illegal payment. Andrey Medvedev, director of the Central Bank’s legal department, confirmed the enforcement structure.

Three narrow exceptions permit crypto as payment inside Russia. First, crypto-to-crypto exchanges on licensed platforms. Second, paying for securities outside a public offering. Third, paying blockchain network fees for onchain transfers. Everyday retail use for groceries, coffee, or cars remains illegal.

Retail Investor Rules and Whitelisted Tokens

Retail access exists but comes with hard limits. Unqualified investors face an annual purchase cap of 300,000 rubles, roughly $3,800. Qualified investors receive higher thresholds, with figures around 3 million rubles for purchases discussed during committee review. Additionally, retail investors can only buy tokens from a Central Bank-approved whitelist of “liquid cryptocurrencies.”

The whitelist criteria are strict. Draft thresholds include an average market cap above 5 trillion rubles over two years and daily trading volume above 1 trillion rubles. Assets must also show at least five years of price history on a licensed foreign exchange. As a result, the tradable universe narrows to a handful of large-cap coins, likely Bitcoin, Ethereum, and few others. Smaller altcoins are effectively excluded from the legal Russian market.

What Comes Next

The Federation Council has 14 days to approve the bill after Duma passage. Following that, President Putin has 14 days to sign it into law. The Duma’s first reading passed with 327 of 340 deputies voting in favor, signaling near-unanimous political backing. Barring significant amendments, main provisions activate September 1, 2026. Full enforcement of the intermediary-only trading regime arrives July 1, 2027, giving the market roughly ten months to prepare.

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