Trading US stocks through crypto derivatives: a new loophole for Russians or a risky venture?
After the harsh sanctions restrictions of 2022, access for Russian investors to the US stock market through traditional brokerage accounts became virtually impossible. However, the most enterprising part of the market participants quickly found an alternative route — tokenized stocks and crypto derivatives on foreign platforms. This instrument allows you to profit from fluctuations in the value of American giants' securities, using cryptocurrency for settlements. But how safe and legal is this practice?
I have analyzed the opinions of leading experts to give you an objective picture. Analysts' assessments agree on one point: the risks here are quite serious. However, opinions diverged on the scale of the phenomenon and its future.
Scale of the Phenomenon: Mass Trend or Niche Instrument?
Igor Plotnikov, Executive Director of Millpay, believes that tokenized stocks on platforms such as Bybit, Binance, and Deribit are in high demand among Russians. They are especially actively used by traders already working with digital assets. Indirect data — lively discussions in specialized communities and high traffic on exchanges — confirm that this is one of the most sought-after ways to invest in the US.
However, Alexander Nam, Vice President for Digital Assets at MTS Fintech, holds a more restrained assessment. He calls such trading the domain of a narrow circle of experienced players. Yaroslav Kabakov, Director of Strategy at IC "Finam," agrees with him, considering this practice exclusively niche. In his opinion, the mass investor is not yet ready for such complex and risky instruments.
Legal and Sanctions Risks: A "Gray Zone" Without Protection
In assessing the potential threats, experts are unanimous. Yaroslav Kabakov highlights three key categories of risks: legal (uncertainty of legal status and complex tax accounting), sanctions (high probability of account blocking due to Russian citizenship), and infrastructural (the tokenized instrument does not confer rights to the real underlying asset).
Igor Plotnikov focuses on the nature of the instrument itself. A tokenized stock is a derivative that is entirely dependent on the exchange that issued it. If the platform runs into problems, the trader risks being left with nothing, as they have no rights to the real securities. The legal status of such transactions is in a "gray zone" due to the lack of clear regulation.
Fyodor Ivanov, Director of Analytics for AML/KYT at operator "SHARD," adds another important nuance: when withdrawing funds to the Russian banking system, a problem arises in confirming the legality of their origin. A bank working with cryptocurrency will find it extremely difficult to explain the nature of income from tokenized assets.
Future: Legalization vs. Displacement
Here, expert opinions diverge again. Yaroslav Kabakov and Alexander Nam believe that Russian legislators will bet on licensed digital instruments within the national financial system. Investors will likely be offered digital financial assets (DFAs) on foreign securities, tokenized RWAs, and structural solutions. In their opinion, the active development of these products will eventually displace the "gray" segment of the market.
Igor Plotnikov views regulation from a different angle. For him, this is a long-awaited clarification of the rules of the game, not a displacement of players. He explains that after the law on digital currency comes into force, citizens will be able to legally buy tokenized assets with cryptocurrency. Restrictions will only concern the use of Russian payment infrastructure. That is, buying USDT for rubles on a domestic licensed platform, transferring them abroad, and purchasing assets — this is legal. However, buying them directly on a foreign exchange for rubles will be prohibited. Though technically, this is already impossible, as foreign platforms do not accept rubles.
Analyst's Conclusion from Cryptalist
Trading US stocks through crypto derivatives is a classic example of a trade-off between accessibility and security. On one hand, you gain access to the American market without needing to open accounts with foreign brokers. On the other hand, you are completely dependent on the derivative issuer and bear enormous legal and sanctions risks. My professional advice: if you are not prepared for a potential total loss of capital due to account blocking or exchange problems, it is better to wait for the emergence of legal and protected domestic DFAs. Playing in the "gray zone" may not end in your favor.