The Central Bank of Russia against stablecoins: a tough stance, an exception for foreign economic activity, and the "elephant in the room"
The Central Bank of Russia does not intend to allow stablecoins into domestic payment circulation. The regulator makes it clear: the Russian ruble retains the status of the sole legal tender, and this monopoly will be strictly protected. However, for cross-border settlements, the agency is ready to consider exceptions, putting the issue of creating special rules for such assets up for public discussion, although it expresses doubts about the feasibility of this measure.
Key Theses of the Regulator
The Bank of Russia demonstrates a restrained and even skeptical attitude towards digital currency surrogates, pointing to high systemic risks. The benefits of their integration into the national economy seem unclear to the regulator's experts. The agency's key positions can be grouped as follows:
- Domestic payments in digital coins remain strictly prohibited.
- The use of these instruments in foreign trade transactions is still under discussion.
- Sanctions are recognized as the main threat, as issuers can block wallets.
- There is still no official definition of stablecoins in domestic legislation.
In the event of legalization, only commercial banks or specialized companies could become potential issuers. The corresponding register would be directly controlled by the regulator.
Without Enthusiasm: Myths and Reality
The overall tone of the document appears highly critical. The Bank of Russia does not attempt to completely demonize the industry but certainly does not share market optimism. Experts consider the value of stablecoins for private investors and the local market to be dubious. The document's authors debunk the popular myth of blockchain's technological superiority. The high speed and low cost of transactions in past years were explained solely by the absence of state control. According to the Central Bank's observations, as anti-money laundering standards are implemented worldwide, these advantages are rapidly disappearing.
The regulator emphasizes geopolitical factors. The Central Bank reminds that issuers of centralized systems are capable of destroying or freezing coins without court decisions. For domestic companies, such risks have long become a reality. As an example, the authors cite the blocking of the Garantex exchange infrastructure in March 2025.
No Stablecoin in the Law
Currently, Russian legislation simply lacks the legal concept of a "stablecoin." For this reason, the regulator distributes existing tokens among current legal categories: foreign asset-backed tokens (USDT, USDC) are considered foreign digital rights; Russian analogues are considered digital financial assets (DFAs); and algorithmic coins are considered digital currencies.
Notably, the issuance of DFAs with a fixed value on local platforms is already permitted. However, over several years, no issuer has taken advantage of this option, confirming the Central Bank's conclusions about low demand.
Domestically — No, Abroad — Possibly
On domestic market issues, the agency's position remains uncompromising. The national currency ensures the financial sovereignty of the state. Accordingly, the use of any tokenized rights for settlements within the country will remain prohibited, and no one intends to change these rules.
The only promising area for applying new technologies is recognized to be international settlements. However, on this issue, the regulator is currently avoiding final decisions and awaits business feedback. Some market participants are requesting the approval of separate standards to distinguish settlement tokens from investment DFAs. The Bank of Russia is carefully analyzing all arguments: on the one hand, clear rules will increase the trust of foreign partners; on the other hand, the emergence of a specialized payment instrument will instantly make it a target for foreign regulators. Moreover, creating a separate supervisory system will require significant budget expenditures.
The Elephant in the Room Named A7A5
Despite an in-depth market analysis, the authors of the fifty-page document passed over the most important precedent in silence. The text makes no mention at all of A7A5 — the first large-scale stablecoin pegged to the national currency. The instrument is backed by real deposits in the sanctioned Promsvyazbank. By the end of 2025, the asset held over 40% of the non-dollar stablecoin segment. Within just a year of its launch, the volume of transactions involving it exceeded $100 billion.
According to analysts, the project's launch allowed Russia to put sanctions circumvention on an industrial footing, leading the EU to include the token in the 19th sanctions package. The Russian side rejects such accusations, positioning the project as an independent settlement system for businesses affected by the SWIFT disconnection.
The Bottom Line
The Bank of Russia is ready to discuss the legalization of digital currency analogues exclusively for servicing foreign trade. The domestic market will remain closed to such experiments. At the same time, the report's authors regularly return to the idea that creating separate legislation is pointless. It is obvious that businesses are not showing activity even within the existing DFA framework. The regulator will make a final decision after processing all feedback, which will be collected until the fall of 2026.
Analyst's Comment: The position of the Central Bank of the Russian Federation appears pragmatic and balanced. However, ignoring the successful case of A7A5 raises questions. This precedent clearly demonstrates that demand for ruble stablecoins for foreign economic activity exists and is quite significant. Perhaps the regulator is deliberately avoiding its mention to avoid creating additional hype and giving grounds for sanctions pressure, but for an objective analysis, such a gap is a significant omission.