Russia has firmly reiterated its policy on digital assets, drawing a clear line between their utility as investments or cross-border tools and their role in domestic payments. As the global discussion around cryptocurrency integration continues, Moscow is reinforcing its long-standing approach, prioritizing the ruble's dominance within its borders.
Lawmakers Reinforce Ruble-only Payment Rule
Russian lawmakers, notably Anatoly Aksakov, Chairman of the State Duma Committee on Financial Markets, have unequivocally stated that cryptocurrencies like Bitcoin and Ethereum are prohibited as a means of payment for goods and services within Russia. This stance is rooted in the country's 2020 digital assets law, which dictates that only state-issued and controlled currencies are legitimate tender, thereby excluding private digital currencies from domestic commercial transactions. This strict prohibition applies across all sectors, including retail, online services, and business contracts, irrespective of global adoption trends or market conditions. Officials indicate there are no plans to soften this position.
Central Bank Skepticism Shapes Policy
The Bank of Russia continues to play a decisive role in this regulatory framework. Governor Elvira Nabiullina has consistently warned that cryptocurrencies pose significant risks to financial stability and consumer protection. The central bank has historically opposed using crypto as a medium of exchange and has advocated for broad restrictions on exchanges and transactions. This approach has led to past friction with the Ministry of Finance, which favored a more regulated and taxed environment over outright bans. Nevertheless, policymakers appear aligned today in preserving the ruble's monetary monopoly within the country.
Cross-Border Use Grows Despite Domestic Ban
While cryptocurrency is barred from internal payments, Russian authorities acknowledge its growing importance in international trade. Businesses are permitted to use digital assets for cross-border settlements under an experimental legal regime, a strategic move that has gained traction amid global financial restrictions. Officials estimate that billions of dollars in trade have already been channeled through these means. Concurrently, Russia has legalized cryptocurrency mining and is tightening its oversight of the sector, demonstrating a pragmatic dual strategy: stringent internal controls coupled with a selective, controlled embrace of crypto for external economic maneuvers.
