Russia to Introduce Penalties for Illegal Crypto Transactions

Russia is preparing legislation to criminalize illegal crypto circulation and establish procedures for confiscating digital assets to the state’s benefit.

Prosecutor General announces new crypto control measures

Russia is preparing new legislation that will criminalize the illegal circulation of cryptocurrencies, according to Prosecutor General Alexander Gutsan. He made the announcement during a meeting of the Coordination Council of CIS Prosecutors General, emphasizing that the growth of the digital economy makes crypto regulation increasingly important.

“The new initiatives aim to establish liability for unauthorized crypto transactions, as well as procedures for seizure and transfer of digital assets to state ownership,” Gutsan explained.

Legal framework to fight crypto-related crime

According to Gutsan, the Prosecutor General’s Office has already built a legal foundation for monitoring digital assets and crypto mining.
Authorities have also developed tools to track suspicious blockchain transactions potentially linked to corruption, extremism, terrorism, and drug trafficking.

He emphasized that the framework would allow regulators to better identify illegal crypto activities and ensure state control over the flow of digital assets.

Toward a regulated and transparent crypto market

The proposed measures are expected to strengthen government oversight and reduce the risks of criminal use of cryptocurrencies.
Gutsan noted that the goal is not to suppress innovation but to establish a transparent and legal digital economy.

Experts argue that the initiative could help create a regulated crypto market in Russia, where all digital asset transactions would occur under clear legal supervision.
The move marks another step toward aligning Russia’s crypto policy with international anti–money laundering standards.