Federal Law 221-FZ – Russia’s Crypto Rules

When dealing with Federal Law 221-FZ, the Russian legislation that defines how crypto assets are treated, who must register, and what reporting is required. Also known as 221-FZ, it sets the legal foundation for all digital‑currency activities inside the country. In plain terms, the law says any platform offering crypto trading, custody or payment services must obtain a licence, keep detailed transaction logs, and share data with the Federal Financial Monitoring Service.

One direct outcome of Federal Law 221-FZ is the rise of Crypto Exchange Enforcement, regulatory actions that fine or shut down exchanges that ignore registration, AML or reporting rules. When an exchange skips the licence step, regulators can impose hefty penalties or even seize assets. This enforcement loop forces platforms to embed compliance tools—like real‑time KYC checks—directly into their trading engines.

Another piece of the puzzle is Crypto Tax, the tax framework that classifies crypto gains as taxable income and requires annual reporting to the Russian tax authority. Because 221-FZ treats crypto as property, every sale, swap or mining reward triggers a taxable event. The law also obliges exchanges to issue transaction statements, making it easier for the tax office to match declared income with on‑chain activity.

Russia’s push for a Central Bank Digital Currency, a state‑issued digital ruble that would operate alongside cash and electronic money interacts closely with 221-FZ. The CBDC legislation adopts many of the same registration and reporting standards, meaning banks and fintech firms preparing for the digital ruble must already comply with the crypto law’s requirements. This overlap reduces friction when the digital currency launches, but it also tightens the overall regulatory net.

Bank freezes under the U.S. GENIUS Act may seem far‑away, yet they echo the compliance pressure created by 221-FZ. Both regimes aim to stop illicit flows by cutting off access to crypto‑related accounts. In Russia, a frozen account often signals a breach of the law’s AML obligations, prompting exchanges to upgrade monitoring systems to avoid service interruptions.

What You’ll Find Below

The articles below dig deeper into each of these areas: from detailed reviews of crypto exchanges that have faced enforcement actions, to guides on filing crypto taxes correctly, to updates on Russia’s CBDC rollout and how it aligns with 221-FZ. Whether you’re a trader, a compliance officer, or just curious about Russia’s digital‑asset landscape, the collection gives you practical insights you can act on right now.