Russia allows cryptographic financial products, but investors do not receive actual Bitcoin or Ethereum.
Only experienced and qualified investors can trade these products under strict terms and capital requirements.
Despite all sanctions, Russia is reportedly holding over 50,000 Bitcoin, partially seized and partially won by purchase.
The Russian central bank is slowly open to crypto-related products, but only in a very controlled way. The move comes as several countries, including the US, the European Union, Japan and the UK, are imposing strict sanctions on Russia, many of which target digital assets and crypto use.
So, what exactly does this mean for the market and investors?
Russia allows crypto link products
In a statement released this week, the Bank of Russia confirmed that financial institutions are currently permitted to offer products related to cryptocurrency prices. These include derivatives, securities and digital financial assets. However, there is a catch and these products cannot be resolved into actual cryptography.
In short, investors will not receive Bitcoin or Ethereum, but only receive products tied to price movements.
And these products are not for everyone. Only “qualified investors,” a restricted group with the required experience and financial background, can trade them.
The Bank of Russia has announced that financial institutions will be able to provide crypto-related derivatives, securities and digital financial assets to qualified investors. These must be non-deliveryable products. This means that investors will not receive the crypto directly.
– Wu Blockchain (@wublockchain) May 29, 2025
Strict control and risk warning
Even with this new step, the Russian Central Bank has not jumped into the code without a safety net. I told banks and other credit institutions that I should be very careful about these products. They need to fully back these instruments with capital and also set limits to avoid major risks.
Next year, the Bank of Russia is also planning to formalize rules that better manage the risks associated with the unstable nature of cryptocurrency prices.
Global pressure from sanctions
Many countries have already cracked down on the use of Russian digital assets. After the Ukrainian conflict, the US, EU, Japan and the UK imposed sanctions covering the code to prevent Russia from using it as a loophole that moves money.
For this reason, Russia is trying to find new ways to explore the world of digital finance without breaking global rules.
Russia BTC Holding
Russia’s crypto rules are not very clear, but there are many bitcoins in the country. The Russian Central Bank and some government agencies have acquired Bitcoin by purchasing directly or seizing it from criminal acts.
Over 50,000 BTC is believed to be worth around $5.5 billion in Russia.
