Russia's Bank of Russia has formally approved the retail trading of Bitcoin, Ethereum, and Tether (USDT), clearing the three digital assets under a liquidity-based framework that simultaneously bars all other cryptocurrencies — including XRP — from reaching ordinary investors. The decision marks one of the most consequential regulatory moves in the country's fractured relationship with digital assets, drawing a hard line between what the central bank considers sufficiently liquid instruments and the broader universe of tokens that fall short of that threshold.
The ruling is notable not only for what it permits but for the precision of its exclusions. By anchoring approval criteria to liquidity — the ease with which an asset can be bought or sold at stable prices and in significant volumes — the Bank of Russia has effectively established a two-tier digital asset market. Bitcoin, with its multi-trillion-ruble daily global turnover, and Ethereum, the backbone of decentralised finance (DeFi) and smart-contract infrastructure worldwide, were the obvious frontrunners to clear any credible liquidity test. Tether, as the world's most widely traded stablecoin and a dominant instrument in cross-border settlement, completed the shortlist.
The exclusion of XRP is the detail that will generate the most debate among market participants. Ripple's native token has, over the past several years, accumulated a global user base of financial institutions and payment corridors, and its prolonged legal battle with the United States Securities and Exchange Commission (SEC) ultimately resulted in partial court victories that bolstered its standing internationally. Yet, from the Bank of Russia's vantage point, XRP's liquidity profile — whether measured by order-book depth, daily volume consistency, or market-structure resilience — evidently did not satisfy the threshold set for retail eligibility. Every other cryptocurrency on the market faces the same verdict: off-limits for Russia's retail investors, at least for now.
The framework reflects a regulatory philosophy that is increasingly common among sovereigns grappling with how to bring cryptocurrency into a supervised perimeter without opening the door to speculative excess. Rather than prohibiting digital assets outright — a position Russia itself flirted with in earlier years — the central bank has opted for a curated, liquidity-gated model. This approach mirrors, in spirit if not in technical detail, elements of the European Union's Markets in Crypto-Assets (MiCA) regulation, which also attempts to classify digital assets by their characteristics and risks rather than treating the sector as a monolith.
For Russian retail investors, the practical implications are significant. Citizens will now have a regulated pathway to gain exposure to the three largest digital assets by global trading volume through sanctioned channels — a development that carries particular weight given Russia's ongoing isolation from much of the Western financial infrastructure. USDT, in particular, has functioned as an informal dollar substitute in sanctioned economies, and its official recognition by the central bank is a tacit acknowledgment of the role stablecoins already play in Russia's shadow financial flows. Formalising that role brings it within supervisory reach, which cuts both ways: it offers retail participants some degree of consumer protection while giving authorities visibility into flows they previously could not monitor.
The geopolitical dimension of this decision cannot be decoupled from its regulatory logic. Russia's severing from SWIFT and the freezing of central bank reserves following the 2022 invasion of Ukraine have accelerated domestic interest in cryptocurrency as an alternative settlement layer. Allowing Bitcoin and Ethereum to trade legally for retail investors is, in one reading, an infrastructure decision as much as a financial-regulation decision — building out a domestic digital-asset market that can function independently of Western payment rails. The liquidity criterion conveniently aligns regulatory prudence with geopolitical pragmatism: the three approved assets are precisely those with the deepest global markets and the broadest international counterparty networks.
Whether the approved list will expand over time depends on how the Bank of Russia evolves its liquidity methodology. Assets that currently fall short — XRP among them — could theoretically qualify in future review cycles if their market structures deepen. Conversely, the central bank may use the framework as a durable filter, keeping the approved roster intentionally narrow to limit systemic risk exposure and maintain tight supervisory control. For now, the message from Moscow is unambiguous: Bitcoin, Ethereum, and Tether have earned their place in Russia's regulated retail market. Everything else remains in the waiting room.
What This Means: Russia's liquidity-gated approval framework represents a structural turning point for cryptocurrency regulation in the country — legitimising three dominant digital assets for retail participation while drawing an explicit boundary that XRP and hundreds of other tokens cannot currently cross. For global market observers, the decision signals that even heavily sanctioned economies are moving toward selective crypto integration rather than blanket prohibition, and that liquidity depth — not political popularity or technological novelty — is emerging as the central bank's benchmark for retail eligibility.
Written by the editorial team — independent journalism powered by Codego Press.
