The Federal Financial Monitoring Service (Rosfinmonitoring) is preparing a new wave of regulation: full identification and the Travel Rule for the crypto market.
The digital currency market in Russia is entering a new phase of control. Rosfinmonitoring has announced comprehensive changes to the rules for crypto asset circulation, which will radically alter the rules of the game for all participants—from brokers to trust managers.
The key innovation is mandatory full client identification for all new players in the crypto market. Now, brokers and trust managers working with bitcoin and digital rights will be required to disclose not only the client's identity but also data on beneficiaries and beneficial owners. To reduce operational burden, lawmakers have provided an outsourcing mechanism: crypto exchanges and depositories will be able to transfer identification functions to commercial banks and professional securities market participants.
Expansion of mandatory control is another significant step. Five new types of cryptocurrency-related transactions will be added to the list of operations subject to automatic control. At the same time, the digital depository will be integrated into the information support system for transfers.
Special attention should be paid to the implementation of the Travel Rule. Now, each crypto transaction must be accompanied by end-to-end information about the sender and recipient. This requirement is already in effect in the EU and most FATF jurisdictions, and Russia aims to synchronize its norms with global standards. Banks, brokers, and digital depositories will have the right to block suspicious transfers, while foreign trade operations using digital rights will be monitored separately.
It is important to note that some requirements are already enshrined in the current version of Federal Law No. 115. Transactions with digital financial assets worth over 1 million rubles are already classified as mandatory control operations. However, according to agency representatives, the new measures are aimed at "decriminalizing" the cryptocurrency market and bringing the Russian AML system into compliance with FATF recommendations ahead of the upcoming assessment.
The innovations will take effect after the adoption of the bill "On Digital Currency and Digital Rights," which has so far only passed its first reading. It is worth recalling that the updated FATF methodology has already shifted the focus of global assessments to the real effectiveness of law enforcement—countries are no longer required to simply pass laws; they must demonstrate strict oversight in practice.
My analysis: This is a logical but extremely harsh step. Russia is essentially copying the European MiCA model, but with a clear emphasis on fiscal and law enforcement control. For legal players, this will create clear rules, but for the gray and black markets—almost complete displacement. However, the main risk here is the stifling of innovation: small crypto services may simply not withstand the administrative burden. The Bitcoin community should prepare for the fact that anonymity within the Russian jurisdiction will become a luxury.