Bank of Russia flags crypto and stablecoins as financial market risk

The Bank of Russia has identified cryptocurrency use as a financial market risk, warning that stablecoins and other digital assets could increasingly be used by Russians as substitutes for the national currency. Summary Bank of Russia has warned that stablecoins and other digital assets could increasingly be used as substitutes for the ruble. The regulator said crypto investments carry a risk of complete losses and raised concerns over anonymous and decentralized transactions. Unlicensed crypto operators could face criminal liability, while regulated firms that break market rules could face administrative penalties. Rosfinmonitoring has gained authority to oversee crypto transactions, while clients of Russian digital depositories will be required to provide their tax identification numbers. The central bank outlined the concerns in its review, “Main Directions for the Development of the Financial Market of the Russian Federation for 2027 and the Period of 2028 and 2029,” where it warned about potential losses for investors and risks tied to crypto activity outside national jurisdictions. Bank of Russia sees stablecoins as a risk to the ruble The regulator said increased use of digi...