Russia Eyes Crypto Bank to Boost Mining, Curb Fraud

Russia is considering the creation of a crypto-enabled bank to strengthen its digital asset sector, support miners, and fight illicit financial activities, according to a government official. Evgeny Masharov, a member of the Russian Civic Chamber, which reviews draft laws, told state-owned TASS that such a move would address existing challenges while boosting the country’s economy.

Masharov proposed that Russia follow the example of Belarus by launching a crypto exchange service through a major financial institution. He said the initiative would bring “shadow transactions” into the legal framework, increase federal revenue, and reduce channels used to finance criminal activities. 

Crypto Bank Could Support Miners

With crypto payments banned in early 2022, Russia has cautiously opened up to the sector by permitting financial institutions to offer crypto products to accredited investors and exploring plans for a Ruble-pegged stablecoin.

According to Masharov, a crypto bank could also provide much-needed infrastructure for miners. “Currently, there is no way for miners to cash out their earnings,” he explained. Despite restrictions imposed on mining in 10 out of 46 regions and seasonal limits on energy consumption, the industry remains active. 

The country’s Blockchain Forum has increasingly attracted crypto mining businesses.

A Regulated Bank Could Combat Fraud

Masharov stressed that a regulated crypto bank could help fight fraud by ensuring transparency in transactions. “Settlements must be made in cryptocurrencies, and funds should be credited only through the current accounts of Russian citizens,” he said. 

Currently, most crypto exchangers accept cash, deposit it to wallets, and charge commissions—an approach that opens doors for abuse.

Earlier this year, Masharov also proposed a government crypto fund consisting of assets seized through criminal investigations.

Russia’s crypto industry continues to expand despite a challenging regulatory environment. The country’s crypto market revenue is expected to grow from $2.3 billion in 2025 to $3.9 billion by 2026. Additionally, the number of crypto users is projected to exceed 44 million by the end of 2026, from a population of 143 million.