Crypto news

After the introduction of strict restrictions in 2022, direct access for Russian investors to the U.S. stock market through traditional brokerage accounts was virtually cut off. However, the resourceful part of the market quickly found an alternative workaround. This involves tokenized stocks and crypto derivatives on foreign platforms. These instruments allow investors to profit from changes in the value of U.S. company shares, using cryptocurrency for settlements. But how safe and legal is this method? There is no consensus in the professional community regarding either the scale of the phenomenon or its compliance with upcoming legislative changes.

Scale of the Phenomenon: Mass Trend or Niche Instrument?

Estimates of the popularity of the new instrument vary. On one hand, Igor Plotnikov, Executive Director of Millpay, notes the high demand for tokenized shares of American giants on platforms like Bybit, Binance, and Deribit among Russians. According to him, this is especially relevant amid the current downturn in the crypto market and a strong revival in the stock market. Indirect data—lively discussions in specialized communities and high traffic on exchanges—confirms that this is one of the most sought-after ways to invest in the U.S. The appeal of the method, he says, stems from the ability to trade with high leverage, 24/7 deposit and withdrawal of funds in USDT, and the lack of need to open an account with a foreign broker.

On the other hand, Alexander Nam, Vice President of Digital Assets at MTS Fintech, calls such trading the domain of a narrow circle of experienced players. He is joined by Yaroslav Kabakov, Director of Strategy at IC "Finam," who considers this practice exclusively niche. Thus, we see a classic divide: some analysts view this as mainstream, while others see it as merely a tool for professionals.

Legal and Sanction Risks: A Unified Assessment of Threats

In assessing potential threats, experts are unanimous. Yaroslav Kabakov points to heightened legal, sanction, and infrastructure risks. The investor is entirely dependent on the rules of a specific foreign platform and may at any moment face asset freezes, left without the usual protection of property rights.

Alexander Nam divides all client concerns into three categories:

• Legal dangers: complete uncertainty regarding the legal status of transactions and complex tax accounting.
• Sanction risks: high probability of account blocking due to Russian citizenship.
• Infrastructure problems: a tokenized instrument never guarantees legal rights to ownership of the underlying asset.

Igor Plotnikov emphasizes the nature of the instrument itself. Any tokenized stock is a derivative, 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 actual securities. The legal status of transactions is in a gray area due to a lack of clear regulation.

Fyodor Ivanov, Director of Analytics for AML/KYT at operator "SHARD," suggests dividing risks based on the type of platform. On centralized exchanges, difficulties are related to compliance, which has become too demanding for users with Russian passports. On decentralized platforms, he sees no particular risks beyond the standard loss of funds due to high volatility. However, the main problem, he says, arises when bringing such funds into the Russian regulated framework: it is extremely difficult to explain the origin of funds to a bank, requiring a high level of financial literacy from the investor.

Future in Light of Regulatory Norms

Yaroslav Kabakov believes that Russian lawmakers will focus on licensed digital instruments within the national financial system. Operations through uncontrolled foreign crypto exchanges will not be supported. Alexander Nam specifies that investors will likely be offered digital financial assets (DFAs) on foreign securities, tokenized real-world assets (RWAs), and various structural solutions. In his opinion, their active development will eventually push out the gray market segment.

Igor Plotnikov views regulation from a different angle. For him, it is not about pushing out players, but about long-awaited clarification of the rules of the game. 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 affect the use of Russian payment infrastructure. That is, buying USDT for rubles on a domestic licensed platform, transferring them abroad, and purchasing assets there is legal. However, buying them on a foreign exchange directly with rubles will be prohibited. In practice, this is already technically impossible, as foreign platforms do not accept rubles.

Conclusions and Expert Opinion

The main divergence among experts lies in assessing the scale of trading. Igor Plotnikov considers this method a popular way to invest among active traders from Russia. Alexander Nam and Yaroslav Kabakov classify it as a narrow niche for professionals. However, analysts are unanimous in describing the risks: a tokenized stock is merely a derivative without rights to the real asset, making the investor vulnerable to sanctions and freezes. Fyodor Ivanov also reminds of the problem of proving the legality of income when returning it to Russia.

My professional assessment: Trading U.S. stocks through crypto derivatives is not a mass panacea, but a high-risk instrument for experienced market participants prepared for legal uncertainty. Relying on it as the primary investment method for a broad audience is premature for now. Upcoming regulation will likely push out "gray" schemes in favor of controlled DFAs, but until then, the investor acts at their own risk.