- Russia is set to amend its criminal code to include cryptocurrency-related clauses, aiming to streamline the legal process for seizing digital assets in criminal cases.
- The move seeks to resolve long-standing challenges faced by law enforcement due to the lack of clear legal definitions for crypto.
The Russian government is preparing to reshape its legal landscape with a significant move: the addition of cryptocurrency-related clauses to the nation’s criminal code. The draft bill, penned by the Ministry of Justice, is reportedly on its way to the State Duma, signaling Moscow’s intent to bring clarity and control to the legal gray areas surrounding crypto crimes.
Currently, Russia’s criminal and procedural codes lack any mention of digital assets. This legislative vacuum has left law enforcement agencies grappling with the complex task of seizing and handling cryptocurrencies during investigations. As it stands, officers can confiscate physical hardware wallets, but digital wallets—especially “hot” wallets—pose a logistical and legal challenge.
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According to Russian media outlet Vedomosti, the Government Commission on Legislative Activity has greenlit the draft, while state-run agency TASS confirms it has reviewed the bill. The proposed amendments aim to officially classify crypto as property eligible for confiscation, thereby establishing legal procedures for its seizure and custody.
Legal experts say the bill marks a long-overdue update. Vladimir Gruzdev, Chairman of the Association of Lawyers of Russia, noted that the current system requires outside specialists to handle digital asset seizures properly. The draft law, he explained, could streamline this process and offer much-needed legal clarity.
Still, the move has sparked debate. Some lawyers, like Maria Bakakina from Sokolov, Trusov, and Partners, questioned how courts have managed to confiscate crypto in past cases without a legal framework. Others, like Daniil Markhiyev, emphasized the importance of protecting innocent parties who may get caught in the crossfire of crypto-related criminal investigations.
As Russia takes steps to modernize its legal tools for the digital age, many are watching to see how enforcement agencies will adapt—and whether this signals a broader shift in the country’s evolving stance on cryptocurrencies. For now, it’s clear that Russia is gearing up to give its justice system a crypto-age upgrade.