Russia Allows Crypto Products for Qualified Investors
Fhumulani Lukoto
- 2 min read
Key Takeaways
Crypto Derivatives Approved:
The Bank of Russia now permits licensed financial institutions to offer crypto-linked, cash-settled financial products like derivatives and securities.
Access Limited to Qualified Investors:
Only individuals and entities meeting strict financial criteria can invest, ensuring participation is limited to experienced market players.
Tighter Controls and Pilot Programs Ahead:
The move includes strong risk management rules and may lead to a broader legal framework through upcoming experimental regimes.
In a significant policy shift, the Bank of Russia has authorised financial institutions to offer cryptocurrency-linked financial products to qualified investors.
Non-Deliverable Crypto Derivatives Now Permitted
This move marks a cautious yet notable step toward integrating digital assets into Russia’s financial system. On May 28, 2025, the Bank of Russia announced that licensed financial institutions can now offer non-deliverable financial instruments—such as derivatives, securities, and digital financial assets—whose returns are tied to cryptocurrency prices. These products are designed to provide exposure to the price movements of cryptocurrencies like Bitcoin (BTC) and Ethereum (ETH) without granting direct ownership of the underlying assets.
The central bank emphasised that these instruments must be cash-settled, meaning investors will not receive cryptocurrencies. This approach aims to mitigate risks associated with direct crypto ownership while allowing investors to benefit from market fluctuations. The bank said,
“The tool allows you to invest in cryptocurrency in rubles through familiar application — safely and within the legal framework of the Russian Federation, without opening an account on a crypto exchange and difficulties with protecting your wallet.”
Access Restricted to Qualified Investors
Access to these crypto-linked products is limited to
“qualified investors,”
including individuals and entities meeting specific financial criteria set by Russian regulators, which may include a lockup period for certain investments.. These criteria typically involve substantial investment experience, significant asset holdings, and a high level of financial literacy.
The Bank of Russia has stipulated that financial institutions offering these products must implement strict risk controls, including capital coverage and individual exposure limits. This conservative approach reflects the central bank’s ongoing caution regarding crypto volatility and regulatory challenges.
Future Outlook: Experimental Legal Regime and Market Developments
Looking ahead, the Russian government is considering implementing an Experimental Legal Regime (ELR) that would allow a select group of
“super-qualified”
investors to engage in direct crypto transactions. This three-year pilot program aims to explore the integration of digital assets into the Russian financial system under controlled conditions.
In parallel, Sberbank, Russia’s largest bank, is preparing to serve as a liquidity provider and market maker for the country’s regulated crypto platforms. This development suggests a growing institutional interest in the digital asset space and could pave the way for broader adoption of crypto-related financial products in Russia.
This policy change by the Bank of Russia represents a measured approach to incorporating cryptocurrencies into the nation’s financial landscape. It balances the potential benefits of digital assets with the need for regulatory oversight and risk management.
Categories:
Fhumulani Lukoto
Cryptocurrency Journalist
Fhumulani Lukoto holds a Bachelors Degree in Journalism enabling her to become the writer she is today. Her passion for cryptocurrency and bitcoin started in 2021 when she began producing content in the space. A naturally inquisitive person, she dove head first into all things crypto to gain the huge wealth of knowledge she has today. Based out of Gauteng, South Africa, Fhumulani is a core member of the content team at Coin Insider.