Russia proposes 25% cap on crypto holdings for financial market participants

Under the draft, crypto assets may be included in equity calculations only if they have been admitted to trading on exchanges and are registered with state‑approved crypto depositories, allowing authorities to verify their existence. The value of such holdings would be limited to 25% of the total equity used in the relevant calculations.

The Bank of Russia explained that the ratio will be used to assess credit and market risks and to ensure that firms can cover potential losses, adding that ‘Owing to the new approach, the ratios will factor in cryptocurrency‑related risks and help ensure intermediaries’ financial resilience in cryptocurrency transactions’.

The regulation follows the State Duma’s comprehensive cryptocurrency legislation, which permits both qualified and non‑qualified investors to trade cryptocurrencies. The framework also allows crypto assets, including stablecoins, to be used for certain cross-border settlements, while restricting their use as an internal payment method.

Why does it matter?

The move could influence how quickly traditional financial institutions expand their involvement in the cryptocurrency market, particularly if capital requirements make crypto exposure more costly. It also highlights the growing convergence between digital-asset markets and conventional finance, where regulatory decisions can increasingly affect liquidity, institutional participation and market access. Over time, similar prudential approaches could shape how other jurisdictions balance crypto adoption with broader financial stability concerns.

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