Russia Eases Crypto Rules, Drops Wallet Disclosure, Caps Retail

Russia's State Duma approved a revised cryptocurrency oversight bill on Wednesday. The legislation removes a requirement from earlier drafts that users disclose wallet addresses to authorities. It caps retail investment at 300,000 rubles a year, about $3,300 at current exchange rates, and introduces a 48-hour delay on large foreign transfers. The Central Bank of Russia will serve as the regulatory body. The law is expected to take effect on September 1, 2026, the Duma said.

The removal of the wallet-disclosure mandate is the biggest change. Earlier drafts required users to register wallet addresses with tax authorities. The final version eliminates that obligation. The Central Bank will oversee the market. The law does not grant it authority to block transactions or freeze wallets without a court order.

The 300,000-ruble retail cap keeps most ordinary crypto purchases below the threshold. The 48-hour hold applies to foreign transfers that exceed that amount. For traders running arbitrage strategies that depend on fast cross-border moves, the delay introduces a new operational constraint. Institutional flows, which typically use bank channels, are unlikely to be affected, analysts said.

The final version is lighter than earlier drafts, which had stricter reporting rules, analysts said. The changes could foster a more favorable environment for crypto markets within Russia. The net effect on global sentiment is likely to be modest, they added, given that Russia accounts for a small share of global trading volumes.

The bill still needs approval from the Federation Council and the president's signature. The Duma voted after the second reading. The text is expected to pass the upper house in the coming weeks. If the timeline holds, the regulatory framework will be in place before the end of the third quarter of 2026.

The law provides a legal framework for crypto exchanges and peer-to-peer platforms to operate in Russia. That could draw more users into the formal economy. The retail cap limits the size of the market.

For participants watching Russian-linked crypto flows, the key question is whether the law will be enforced as written. The Central Bank has historically taken a hostile stance toward crypto. Some analysts said the agency could still issue restrictive subordinate rules. The 48-hour delay on large transfers, for example, leaves room for the central bank to demand additional documentation on a case-by-case basis.

The Central Bank has not yet commented on the bill. The Federation Council's vote is expected within the next month.