Russian Banks Set to Introduce Cryptocurrency Offerings as Local Demand Increases

Russia’s central banking authority has disclosed its intention to permit financial institutions to introduce crypto-linked investment products aimed at accredited investors, as revealed in a statement dated May 28.

The Bank of Russia detailed that it will permit various instruments such as derivatives, tokenized securities, and other digital financial products that track cryptocurrency price fluctuations.

Nonetheless, these offerings will be non-deliverable, meaning that while investors may speculate on price movements, they will not actually acquire or possess real digital assets.

The central bank emphasized that credit institutions must implement a cautious risk evaluation strategy prior to providing these products. The regulatory body highlighted the necessity of maintaining financial stability even while cautiously exploring exposure to crypto-linked offerings.

This development is part of Russia’s broader initiative to establish a regulatory system for digital assets.

Although the country has set regulations governing mining activities, frameworks for exchanges and the general use of cryptocurrencies are still under consideration.

The recent policy adjustment coincides with a notable rise in domestic cryptocurrency activity.

The central bank’s latest Financial Stability Review reported a more than 51% increase in crypto transaction volumes in Russia towards the end of 2024 and the beginning of 2025 when compared to earlier quarters.

During this timeframe, Russian users conducted trades amounting to 7.3 trillion rubles (approximately $92.9 billion) on major exchanges.

By March 2025, Russian users held over 827 billion rubles ($10.5 billion) across cryptocurrency platforms. Bitcoin made up 62.1% of this total, followed by Ethereum at 22%, and stablecoins like USDT and USDC comprising 15.9%.

The central bank attributed the uptick to a growing global faith in digital assets, particularly pointing to the United States’ recent moves toward cryptocurrency regulation as a primary motivator for renewed interest in the market.

During Donald Trump’s presidency, US authorities adopted several pro-crypto measures, aiming to establish a national Bitcoin reserve and foster the growth of the burgeoning sector.

However, the Russian central bank cautioned that increased regulations, especially concerning stablecoins, may elevate compliance risks. The apex bank noted potential challenges for Russian businesses if US-based issuers start to restrict tokens associated with sanctioned entities.