Russia Sets Crypto Laws; Consider Ban on Foreign Exchanges

What To Know:

• Russia is moving to cap access to foreign crypto exchanges as part of a broader push to tighten control over cross-border digital asset flows.
• Authorities say the measure is aimed at strengthening financial oversight, reducing capital flight, and ensuring compliance with domestic regulations.
• The proposed cap could limit how Russian users interact with global platforms, potentially accelerating the use of locally regulated exchanges and state-aligned alternatives.

Russia is set to put forward new laws to regulate cryptocurrency transactions within its domestic financial system. Officials say the decision is aimed at bringing large volumes of crypto activity under state surveillance and reducing reliance on foreign crypto exchanges.

According to the Finance Ministry, crypto turnover in Russia presently hits about 50 billion rubles per day. Most of these flows take place outside the regulated financial system. Authorities now want to redirect this activity into licensed domestic infrastructure.

Sergey Shvetsov, chairman of the supervisory board of Moscow Exchange, said Russian users pay roughly $15 billion each year in fees to global crypto exchanges. He stated that the Moscow Exchange intends to compete for that revenue once the regulatory framework is in place.

Russia To Cap Foreign Crypto Exchanges

Industrial analysts predict that regulatory tightening will be accompanied by restrictions on foreign trading services. Local media reports indicated that analysts said access to major marketplaces such as Bybit and OKX might soon be blocked.

According to Nikita Zuborev, a senior analyst at Bestchange, foreign exchanges may continue to be accessible during the transition as Russia builds up its domestic infrastructure. Authorities after that could ban unregistered services to defend regional market share. Zuborev observed that the regulator Roskomnadzor could commence a mass blocking of crypto exchange websites as early as this summer. He said the agency can apply techniques used for previous internet restrictions, including deleting DNS records from the Russian internet segment and targeting tools used to get around blocks.

He warned that an aggressive crackdown on foreign exchanges could produce unintended consequences. In his view, stricter controls could drive users toward informal channels, increase fees, and expand fraud risks. He suggested allowing existing services to obtain local licenses or operate as intermediaries for domestic exchanges to prevent fragmentation of the market.

Other experts expect a model similar to what is used in Belarus. Dmitry Machikhin, founder of the BitOK legal service, said Russian citizens could face restrictions on accessing foreign platforms, with trading allowed mainly via approved domestic providers. Belarus introduced a comparable system in which crypto transactions are limited to companies working within a state approved framework.

Machikhin said a full ban on foreign exchange use would be difficult to execute. He noted that many Russian users continue to access global platforms even with earlier restrictions. Even after Binance exited the Russian market, he said a large user base remained active on the platform.

Legal experts also point to parallel efforts to create a regulated “white market” while increasing pressure on unlicensed services. Ignat Likhunov, founder of the Cartesius legal agency, said foreign exchanges have shown little willingness to comply with Russian rules. As a result, authorities may impose restrictions on access while developing domestic alternatives.

Likhunov added that platforms enforcing sanctions on Russian users may face additional blocking measures. He pointed to previous actions against certain exchanges as examples of security driven restrictions.

At the same time, regulators are expanding their technical capabilities. Reports indicate that Roskomnadzor plans to deploy artificial intelligence tools to filter internet traffic. The government has allocated more than 2.27 billion rubles for the development of these systems in 2026.

Analysts say foreign exchanges could be restricted on the basis of data storage laws. Viktor Pershikov, a cryptocurrency market analyst, said platforms serving Russian citizens may be blocked if they store personal data on servers located outside Russia.

Also Read: Russia Plans Major Crypto Policy Push in 2026