Russia allows banks to offer crypto products to accredited investors

The Bank of Russia has authorized financial institutions to offer cryptocurrency-based financial instruments to accredited investors. This allows Russian banks to provide qualified investors with a range of crypto products, including derivatives and securities linked to crypto prices. Crucially, these products cannot involve the actual delivery of cryptocurrencies.

This announcement follows a reported 51% surge in crypto asset inflows from Russian residents during the first quarter of 2025, totaling 7.3 trillion rubles ($81.5 billion). T-Bank, a major Russian commercial bank, swiftly launched digital financial assets (DFA) tied to Bitcoin, accessible through its app to accredited investors only. These DFAs are issued via the state-backed Atomyze platform, offering a regulated path to Bitcoin investment within the Russian Federation.

Despite this development, the Bank of Russia continues to discourage direct cryptocurrency investments by financial institutions and their clients. The central bank acknowledges ongoing government discussions regarding a potential experimental regime permitting direct crypto asset trading for select investors.

The Bank of Russia estimates Russian cryptocurrency holdings on centralized exchanges (CEXs) at 827 billion rubles ($9.2 billion). Bitcoin dominates these holdings with a 62% share, followed by Ether at 22%, and stablecoins (USDT and USDC) at 15.9%.

However, some believe the actual amount of cryptocurrency held by Russians is substantially higher, exceeding the CEX figures. This suggests a significant portion of Russian crypto holdings resides in personal wallets and decentralized exchanges, outside the scope of the Bank of Russia’s estimates. The central bank’s move to permit crypto-linked products while simultaneously discouraging direct investment reflects a cautious approach to regulating the burgeoning crypto market within Russia. The initiative aims to provide regulated access to crypto exposure while mitigating risks associated with direct cryptocurrency ownership.