According to a Sina Finance report on December 2nd, the Central Bank of Russia is actively discussing with the Ministry of Finance the relaxation of cryptocurrency regulations, potentially allowing broader investor participation in digital asset trading. Vladimir Chistyukhin, First Deputy Governor of the Central Bank, stated that the current environment of restricted cross-border payments has prompted authorities to re-examine these restrictions.

According to a public statement from the Russian Ministry of Finance, the country is considering lifting the restriction that only "accredited investors" can participate in cryptocurrency trading. This restriction previously required investors to have net assets exceeding $1.2 million or an annual income of $600,000. Behind this policy adjustment is the reality of market demand: Russia has slipped from seventh to tenth place in global cryptocurrency adoption rankings, and its citizens are estimated to hold over $25 billion in digital assets through overseas platforms.

These changes signify a fundamental evolution in the role of digital assets—from marginalized speculative assets to a crucial bridge connecting traditional finance and the future digital economy. The tokenization of Real-World Assets (RWAs) is becoming a core driver of this transformation.

I. The Turning Point of Russia's Encryption Policy

Russia's regulatory stance on cryptocurrencies has undergone a clear evolution. In 2020, Russia implemented a policy of completely banning cryptocurrencies as a means of payment, placing digital assets in a legal gray area. However, with changes in the international environment and growth in domestic demand, this position has begun to gradually adjust.

In 2024, Russia passed a law that, for the first time, allowed companies to use cryptocurrencies in foreign trade, laying the foundation for a policy shift. In March 2025, the Central Bank of Russia submitted a proposal on the regulation of cryptocurrency investment, planning to establish a three-year experimental legal mechanism. This mechanism initially restricted cryptocurrency trading to only "particularly qualified" investors, but the Ministry of Finance adopted a more open stance, actively promoting lowering market entry barriers.

Policymakers face a complex balancing act: preventing capital outflows and financial risks while avoiding missing out on the opportunities presented by the digital economy. According to a market research firm's survey of 2,500 respondents, 10% of Russians explicitly stated their desire to invest in cryptocurrencies, with over a third seeking "independence from the banking system or political risks." This tension between market demand and stringent regulation is prompting a reassessment of the policy framework.

II. The Multidimensional Logic and Deep-seated Drivers of Policy Shift

Russia's shift in its crypto policy goes far beyond simply seeking alternative payment methods under sanctions; it reflects a complex web of strategic considerations. Financial isolation caused by Western sanctions is the direct catalyst for this policy change. Since 2022, these sanctions have restricted Russia's access to the SWIFT international payment system and major international currencies. The direct consequences of these sanctions include a temporary depreciation of the ruble, adjustments to foreign exchange reserves, and restrictions on international capital flows. These factors collectively prompted Russia to explore financial channels outside the traditional banking system.

Beyond financial isolation, the need for adjustments to the energy economic structure is also a significant driver of policy shifts towards crypto assets. Russia, a traditional energy exporter, faces unprecedented challenges in the global energy transition and the transformation of the international trade settlement system. Some government agencies have already explored the possibility of using cryptocurrencies for energy transactions. While this attempt is still in its early stages, it reflects policymakers' strategic intention to more closely integrate digital assets with the real economy.

Meanwhile, domestic capital continues to flow out of China to overseas crypto platforms through informal channels. According to a report by blockchain analytics firm Chainalysis, monthly cross-border crypto transfers exceed $3 billion, equivalent to three times the officially permitted cross-border cash transfer limit. This phenomenon of "regulatory arbitrage" weakens the effectiveness of domestic financial regulation, forcing policymakers to reconsider how to bring crypto activities under regulatory scrutiny.

III. The Tension Between Internal Game and Market Reality

Behind the shift in Russia's crypto policy lies a clash of ideologies and a need for coordination among different government departments. The Ministry of Finance leans towards a more open approach, advocating for bringing crypto activities under control by lowering investor thresholds and establishing a clear regulatory framework. The Central Bank, on the other hand, is more cautious, emphasizing financial stability and risk control, and advocating for maintaining higher investment thresholds and transaction restrictions.

This internal disparity reflects a common dilemma faced by regulators globally: finding a balance between encouraging innovation and mitigating risks. Russia is adjusting its crypto-asset policy, striving to find a new position in the global digital finance landscape. However, policy implementation faces multiple obstacles: long-standing domestic capital controls are inherently contradictory to the cross-border liquidity of crypto assets; international sanctions restrict the Russian crypto market's connection to the international system, potentially turning it into a relatively isolated "regulatory enclave."

User behavior further highlights the tension between policy and market reality. Data shows that Russian IP addresses account for a significant proportion of traffic on major centralized exchanges. According to publicly available data, Russian IP addresses accounted for 28% of the total traffic on one centralized exchange in October, equivalent to 4.9 million visits. Another major exchange also saw Russian traffic reach 16%. This high level of participation correlates with the ruble's 45% depreciation against the dollar over two years, suggesting the safe-haven appeal of crypto assets in a currency devaluation environment.

IV. Blockchain Technology: An Innovative Engine for Optimizing Cross-Border Flows

The compliance of cryptocurrencies not only safeguards their own development but also provides a solid foundation for the tokenization of Real-World Assets (RWAs). Through blockchain technology, RWAs can achieve cross-border mobility, programmable management, and transparency, playing an increasingly important role in driving the transformation of the global financial system.

The application of blockchain analytics in monitoring cross-border capital flows demonstrates how technology can optimize traditional financial processes. According to blockchain data analysis, addresses linked to Russia receive $4-5 billion in stablecoins monthly and send $2.5-3.5 billion, primarily through USDT and USDC. Such large-scale capital flows would be difficult to monitor and manage without the transparency and traceability of blockchain.

The European Central Bank (ECB) is actively exploring the application of blockchain technology in cross-border payments. Its "Digital Euro" project includes considerations for programmable payments and asset tokenization, reflecting traditional financial institutions' recognition of the potential of blockchain technology. The ECB plans to use blockchain technology to build a payment system, accelerating the transition to the "Digital Euro" era, and this exploration provides important reference for other countries.

In Singapore, the Monetary Authority of Singapore (MAS) is also actively promoting pilot projects for RWA tokenization, exploring new forms of representation for traditional assets such as real estate and private equity on the blockchain. These case studies demonstrate that blockchain technology can not only improve the efficiency of cross-border payments but also provide technical support for a wider range of asset flows and transactions.

V. Global Regulatory Competition Bureau: Common Trends Amidst Differentiated Paths

Russia's policy shift is not an isolated event, but rather part of a global trend towards cryptocurrency regulation. From an international comparative perspective, countries are exploring different regulatory paths for digital assets based on their own economic structures and regulatory philosophies. These differences reflect the policy choices and strategic priorities of various countries in dealing with digital assets, but overall, they show a trend from absolute prohibition to orderly development under risk management.

Cryptocurrency policies across major global economies are diverse: the US GENIUS Act, passed in June 2025, established the first comprehensive regulatory framework for stablecoins, requiring issuers to hold reserves of short-term, highly liquid assets equal to the amount issued. The EU's Crypto Asset Market Regulation Act (MiCAR) adopts a more comprehensive approach, establishing unified rules covering various crypto assets. In Asia, international financial centers such as Hong Kong and Singapore are attempting to find a balance between risk control and innovation encouragement through clear licensing systems.

How do these differentiated regulatory paths specifically affect the progress of RWA tokenization? In regions with high regulatory clarity, such as Singapore and the EU, RWA pilot projects are more active; while in regions with unclear regulations, there is a risk of lagging innovation. Differences in regulatory frameworks also affect the cross-border liquidity of RWA products. Different jurisdictions have different recognition and regulatory requirements for tokenized assets, which may lead to market segmentation.

From a global perspective, the progress of RWA tokenization is positively correlated with regulatory clarity. Countries and regions with clear regulations have made faster progress in tokenizing traditional assets such as real estate, art, and private equity, while regions with uncertain regulations face more legal and compliance obstacles. This difference has prompted international organizations such as the Financial Stability Board (FSB) and the International Organization of Securities Commissions (IOSCO) to begin developing global regulatory standards for crypto assets, providing a predictable regulatory environment for the cross-border circulation of RWA.

VI. Challenges and Risks: The Complex Realities of Policy Implementation

The implementation of Russia's adjusted crypto policy has exposed a series of challenges and risks with universal significance. These challenges are not limited to a single country, but also reflect common problems faced by digital asset regulation globally.

Regulatory effectiveness is the primary challenge. While Russia plans to establish a more open regulatory framework for crypto assets, policy implementation faces multiple obstacles. International sanctions restrict the Russian crypto market's connection to the international system, potentially creating a relatively isolated "regulatory enclave." While this isolation may meet domestic payment needs in the short term, it could limit market depth and dynamism in the long run.

Financial stability risks are another core concern. The high price volatility of crypto assets, the potential for market manipulation, and their contagion mechanisms with the traditional financial system are all issues that regulators must address. The Central Bank of Russia has imposed strict regulations on foreign digital assets, requiring that these assets not be linked to securities from "unfriendly" countries, and prohibiting issuers from retaining the power to freeze or block these assets. This geopolitically based regulatory distinction increases the risks of market segmentation and liquidity dispersion.

Geopolitical factors further complicate policymaking. The possibility that digital assets could become a channel to circumvent traditional financial sanctions presents both an opportunity for sanctioned countries and a concern for sanctioning authorities. Research from the Bank for International Settlements indicates that stablecoin flows have already had an observable impact on the short-term US Treasury market, with increased net inflows leading to a moderate decline in the 3-month Treasury yield within 10 days. This correlation suggests that the crypto asset market is no longer a completely isolated sector, but rather has formed a complex interaction with traditional financial markets.

VII. Future Outlook: A New Financial Ecosystem of Integration and Symbiosis

From a long-term perspective, the boundaries between digital assets and traditional finance will gradually blur, forming a new ecosystem of integration and symbiosis. Central bank digital currencies (CBDCs), stablecoins, tokenized assets, and traditional financial instruments will be interconnected on a unified technological foundation. This integration will not only change the form of assets but also potentially reshape the role of financial intermediaries and the structure of financial markets.

With the increasing integration of digital assets and traditional finance, we may see more innovative financial products across asset classes emerge in the future. RWA tokenization will become an undeniable force in the global financial market, driving improvements in market transparency and liquidity. For example, the automated execution of financial agreements through smart contracts may reduce reliance on traditional intermediaries; while blockchain-based asset registration and transfer systems may improve market efficiency and reduce transaction costs.

The global financial system is undergoing a profound restructuring based on blockchain technology, and the integration of RWA with digital assets will be a core driving force in this process. The practices of various countries in RWA tokenization, such as Singapore's Project Guardian and the EU's DLT pilot program, will provide important experience for the global development of this field. These explorations not only demonstrate the technological possibilities but also provide a practical foundation for improving regulatory frameworks.

This transformation presents both opportunities for increased efficiency and financial inclusion, and challenges related to risk transmission and changes in market structure. Policymakers, industry participants, and the international community need to work together to find a sustainable balance between innovation and stability, and promote the building of a more open, inclusive, and stable new global financial ecosystem.

Some of the information comes from the following sources:

• Russia considers easing cryptocurrency market access requirements amid declining global rankings

• Russia considers easing cryptocurrency access restrictions, causing its global ranking to drop.

• The Central Bank of Russia confirms that Russia may relax regulations on cryptocurrencies.

Author: Liang Yu; Editor: Zhao Yidan