The regulated cryptocurrency market in Russia opened on September 1st, and there are currently four cryptocurrency trading operators and five digital custody institutions in the first batch. Both Sberbank and VTB Bank are among the registered institutions. Trading and accounting obligations took effect immediately, but the full compliance deadline is set for September 1, 2027.
Key Points
- VTB Bank appears in two different registration rosters; Sberbank is registered for hosting services.
- Sberbank plans to launch trading and custody services on December 1st.
- Retail buyers are limited to purchasing up to 300,000 rubles per year through each intermediary institution.
- The proposed upper limit on bank exposures covers crypto assets and foreign digital instruments.
According to crypto.news, the Russian Central Bank has accepted these companies in accordance with the transitional provisions of the "Digital Currencies and Digital Rights Act." Russian President Vladimir Putin signed the act in August, providing a legal framework for the infrastructure on which these companies' registration is based.
The first batch of institutions in Russia's regulated crypto market
The digital custody registration roster includes Sberbank, VTB Bank, Atomyze, Voltari, and Cloud Infrastructure. The four registered trading operators are VTB, Zefir, Sistema Crypto, and T Invest Lab respectively.
This transitional arrangement allows these companies to continue operating during the period to complete the remaining regulatory changes. Their deadline for full compliance is September 1, 2027; trading and accounting requirements will take effect from the date each company is listed in the register.
The central bank's admission rules cover the qualifications for management and executives, application documents, as well as the procedures for approving applicants. Existing financial market participants can apply by simplifying the process.
There are differences between hosting and trading licenses.
Digital custodian institutions can record digital currencies and digital rights, handle transfers, and allow customers to access the identification addresses of their assets. Trading operators can buy and sell digital currencies using their own funds and in their own names, without doing so within organized trading venues.
The custody rules follow a model similar to that of traditional securities custody: companies must maintain records of assets as well as customer information accessible through the system.
In July, the Russian Central Bank issued a draft set of operating rules that established a minimum capital requirement of 50 million to 250 million rubles. The applicable amount depends on the services provided, including work related to open distributed ledgers and post-trade settlement.
Sberbank and VTB set service launch targets
Sberbank plans to launch cryptocurrency trading and custody services on December 1st, with initial assets expected to include Bitcoin, Ethereum, and USDT. Its planned infrastructure includes trading, settlement, and digital custody services.
Customers are expected to be able to use these services through SberBank Online, SberInvestments, and SberBusiness. In August of the same year, the company also disclosed plans to accept BTC, ETH, and USDT as loan collateral after obtaining the necessary regulatory approvals.
The Deputy CEO Vitaly Sergeichuk stated that investors may be able to trade digital currencies through VTB My Investments as early as November. The company expects to launch its own cryptocurrency exchange in December.
Investor Restrictions and Payment Restrictions
The regulated crypto market in Russia allows non-qualified investors to purchase qualified cryptocurrencies worth no more than 300,000 rubles per year through each intermediary, after passing an suitability test. Qualified investors do not have the same annual purchase limit, but they still need to undergo the test.
The Russian Central Bank has listed Bitcoin, Ethereum, and USDT as assets that may meet the standards for retail transactions, based on liquidity and trading history.
Within Russia, the use of cryptocurrencies for payments for ordinary goods and services is still prohibited. There are separate regulations that allow approved digital currencies to be used for certain cross-border transactions, including foreign trade settlements, under the supervision of the central bank.
Customers opening digital custody accounts in Russia must provide a personal tax identification number, namely INN. Rosfinmonitoring indicates that this identification number helps to enhance transaction transparency; for transfers exceeding a specified threshold, information about the payer and the payee is required.
The proposed bank restrictions are not limited to those who hold directly
The Central Bank of Russia proposes to set a maximum combined exposure of banks to cryptocurrencies and foreign digital instruments at 1% of their capital. This draft prudential framework covers direct holdings, derivatives, and other related instruments.
Encrypted exposures and certain customer positions will be subject to a risk weight of 1250%. Cryptocurrencies and foreign digital instruments will also be excluded from collateral when banks calculate potential loss provisions.
It is expected that starting from January 2027, reports will be provided regarding the transaction volumes of the affected tools as well as the new prudential ratios.
This article was generated with the assistance of artificial intelligence and has been reviewed by an editorial team.
