'To Protect Them': Bank of Russia Governor Defends Controversial New Crypto Purchasing Caps
Bank of Russia Governor Elvira Nabiullina has defended the country’s recently passed cryptocurrency bill, which introduces distinct limits for qualified and non-qualified investors. Speaking at a press conference following a Board of Directors meeting, Nabiullina rejected claims that the legislation creates a divide, arguing that such distinctions are common in financial regulation.
“Non-qualified investors have fewer opportunities because the government, through legislation, tries to protect them to avoid them embracing the risks that they don’t understand,” she said. The measures apply to the crypto ecosystem due to the volatility of digital assets and the risk of seizure abroad for owners suspected of links with Russia.
Bill No. 1194918-8, set to take effect on September 1 alongside the rollout of the digital ruble, caps non-qualified investors at 300,000 rubles ($3,800) in crypto purchases. Qualified investors can buy up to ten times that limit. However, Nabiullina stressed that the crypto ecosystem remains open, with no restrictions on transferring digital assets abroad. “Transfer of ordinary foreign currency to foreign accounts is not limited because that might be necessary in order to pay for health care services, for education,” she noted.
She cautioned investors that when receiving funds abroad, they lose Russian legal protections. “If they run into any problems, they will have to try and solve them inside a foreign jurisdiction. We recently saw that such assets in foreign jurisdictions were subjected to closure, foreclosure, and were blocked,” she concluded. The bill passed Russia’s State Duma earlier this week and now awaits the president’s signature.