Russia Drafts Crypto Bill With Up to Seven‑Year Jail Terms for Unlicensed Services

**TL;DR:** Russia’s draft crypto bill would jail unlicensed service providers for up to seven years and fine them up to one million rubles, with harsher penalties for large‑scale damage.

On Friday the Russian government sent the draft regulation to the State Duma, seeking to amend the criminal code for unlicensed crypto activities. The move follows a broader push to curb financial crime risks tied to digital assets.

Under the proposal, individuals face fines of 100,000–300,000 rubles, up to four years of forced labor, or up to four years in prison plus fines. Losses exceeding 3.5 million rubles are classified as major damage, while over 13.5 million rubles trigger particularly serious damage charges. Organized groups could receive up to five years of forced labor, seven years in prison, and fines of one million rubles.

Market data shows Bitcoin (BTC) trading at $27,400, down 2.3% over 24 hours with a market cap of $540 billion, and Ethereum (ETH) at $1,850, down 1.8% with a $220 billion cap. The USD/RUB rate sits at 92.5, up 0.4% week‑over‑week, reflecting modest ruble pressure.

The bill would require all crypto providers to obtain a license, pushing unlicensed operators into the criminal justice system and potentially shrinking the informal market. Licensed platforms could see increased compliance costs but also greater legal certainty.

Watch for the State Duma’s vote and any amendments that could adjust penalty ranges or licensing requirements.