Russia Prepares to Launch a Regulated Crypto Exchange for Elite Investors

A bold crypto revolution is underway as Russia launches a regulated crypto exchange for elite investors, dragging digital assets into legality

The Russian Finance Ministry is working with the central bank to create a cryptocurrency exchange for elite investors, according to a report by Russian news agency RBC on April 23.

The project aims to bring digital assets into the legal framework in Russia, and it is part of the government’s broader efforts to drag crypto out of the shadows.

The exchange will be a key part of the country’s new experimental legal regime (ELR), which is designed to test out new legal and financial products and services.

The crypto exchange will be a platform where elite investors can buy, sell, and trade cryptocurrencies in a fully regulated environment.

This initiative follows previous reports by Bloomberg in March, which stated that the Russian Central Bank and Finance Ministry were nearing an agreement on launching a crypto exchange later this year.

The reports also noted the criteria for elite investors, initially proposed by the Russian Central Bank, would include having over 100 million rubles ($1.2 million) in investments and deposits or an annual income exceeding 50 million rubles.

However, Osman Kabaloev, Deputy Director of the Financial Policy Department at the Finance Ministry, highlighted the ongoing flexibility in setting the access requirements.

“Perhaps it will be in this format or these indicators will be somehow adjusted in one direction or another—this is possible. I think there will be a whole range of discussions.”

As part of the ELR, while super-qualified investors can directly engage in cryptocurrency transactions, standard qualified investors may only access crypto through non-deliverable derivatives linked to its price.

Russia's broader financial infrastructure is preparing for this shift.

Vladimir Krekoten of the Moscow Exchange recently disclosed that his platform is fully prepared to commence trading cryptocurrency-linked derivatives as early as 2025, pending regulatory approval.

Meanwhile, SPB Exchange expressed similar enthusiasm for diversifying its offerings with crypto-based instruments.

Despite this progress, some financial experts remain skeptical.

Igor Danilenko, head of asset management at Renaissance Capital, expressed his criticism of the fundamental basis of cryptocurrencies.

He offered his perspective on the topic.

"There are good alternatives for those who want to hedge against inflation. But here they are dragging cryptocurrency into legality. What is it good for? It’s a token, which is sold for 10 units today and tomorrow they want to sell it for 15. It’s clear that for the price to go up, there needs to be a constant influx of a new buyer—it’s a pyramid. And what is it backed by?”

Recently, Russian President Vladimir Putin signed a law establishing the legal status of cryptocurrencies in the country.

The legislation, which came into effect on April 13, aims to regulate the use of crypto in Russia and introduce it into the country’s financial system.