Crypto Will Never Be Recognized as Official Currency in Russia, Lawmaker Says
Russia's official stance, recently reaffirmed by Anatoly Aksakov, Chairman of the State Duma Committee on Financial Markets, is that cryptocurrencies will never be recognized as official currency or a legal means of domestic payment. The ruble remains the sole legal tender for payments within Russia.
Key Insights
Investment Tool Only: Under current Russian law on Digital Financial Assets (DFAs), cryptocurrencies like Bitcoin and Ethereum are defined as property or investment instruments, not money.
Domestic Payment Ban: A law passed in 2020 explicitly prohibits using crypto for payments for goods and services within the country.
Cross-Border Exception: In response to Western sanctions, an "experimental legal regime" (ELR) allows a narrow category of authorized firms to use cryptocurrencies for international trade settlements.
Taxation and Reporting: Owning and trading crypto is permitted, but transactions exceeding 600,000 rubles in a calendar year must be reported to tax authorities, with penalties for non-compliance.
Central Bank Stance: The Central Bank of Russia (CBR) has consistently maintained a strict, cautious stance, viewing cryptocurrencies as volatile and risky, and has opposed their use for domestic payments.
