Russia's Central Bank Streamlines Crypto Exchange Regulations for Banks and Brokerages

Russia's Central Bank has announced a new regulatory approach aimed at simplifying the process for banks and brokerages to launch cryptocurrency exchanges.

The proposed system allows institutions with existing banking or brokerage licenses to operate crypto trading platforms without needing a separate license, requiring only prior notification of their plans. This move is part of a broader reform package aiming to establish a clear legal framework for digital assets in Russia.

Initially, banks' activities in digital assets will be limited to 1% of their capital, with regulators planning to closely monitor their performance and risk management outcomes. Once the preliminary period concludes, the scope of permitted activities may expand or change based on sectoral performance.