Key Points

• Russia’s central bank eases restrictions, allowing investors to buy crypto in a controlled manner.
• The announcement comes after President Putin officially signed a Bitcoin and crypto tax regulation law.

According to recent reports from Bloomberg sources, Russia is making moves that support Bitcoin and crypto adoption in the country.

It has been just revealed that the Russian Central Bank allows investors to buy crypto in a controlled manner.

Russia Central Bank Allows BTC and Crypto Purchases

Bloomberg sources revealed that the Central Bank in Russia will allow limited Bitcoin and crypto purchases for investors in the country.

This is a huge move towards higher digital asset adoption in Russia and the decision will have various benefits:

• It boosts Bitcoin and crypto investor sentiment
• Signals further openness for local regulations.
• Can pump market liquidity.

However, this decision’s effects will depend on more factors including the market vibes, the current geopolitical tensions, and regulation specifics.

On the other hand, considering the fact that President Vladimir Putin has recently signed a Bitcoin and crypto tax regulation law, it’s clear that the country is heading in the right direction regarding crypto adoption.

Russia’s President Putin Signed BTC and Crypto Tax Regulation Law

In November 2024, Putin signed a law that recognizes Bitcoin and digital assets as property, exempting crypto mining from VAT.

TASS news agency reported the news, highlighting that the law also applies to currencies used in foreign trade payments within the framework of the Experimental Legal regime (EPR) in the field of digital innovation.

Key Points of the BTC and Crypto Legislation

The most important points of the new crypto regulations include the following:

• Bitcoin and crypto are classified as property.
• Crypto mining and selling of crypto are exempt from VAT.
• Mining infrastructure operators have to report to the tax authorities issuing digital assets for the use of their services.
• Crypto obtained from mining operations are classified as non-monetary income.

Income from buying, selling, or other crypto transfers will be subjected to a two-stage income tax, according to the new legislation.

Russia’s important move towards enhanced Bitcoin and digital assets adoption comes amidst global efforts to support the industry in the US and the EU as well.

It remains to be seen whether Russia will also decide to establish a Strategic Bitcoin Reserve following in the USA’s footsteps.