The Bank of Russia said Russian residents will be prohibited from conducting cryptocurrency transactions through self-hosted wallets from July 2027. The measure targets transactions through wallets whose private keys are controlled directly by users rather than by a licensed exchange or financial institution, but the announcement does not prohibitively address holding assets in those wallets. Russia has pursued selective formalization of crypto activity by legalizing certain forms of trading while keeping crypto payments banned domestically. Existing rules require crypto transfers to move through licensed brokers or exchanges, and Russia currently has 13 licensed digital-currency organizations, including VTB Bank and Sberbank. The framework also bars withdrawals from licensed exchange accounts to self-custody wallets and transfers between exchange accounts belonging to different individuals. Approved digital assets remain available for import and export settlements, while the digital ruble has moved beyond its pilot and was launched nationwide in September. The latest announcement does not define penalties, exemptions, treatment of DeFi or cross-border transactions, or the mechanisms authorities will use to enforce the restriction. Sberbank Deputy Chairman of the Executive Board Anatoly Popov estimates that licensed exchanges will initially receive only 20% of Russian crypto-trading volume, while Deputy Finance Minister Ivan Chebeskov has estimated Russian crypto holdings at nearly $44 trillion; an earlier estimate cited 3.7 trillion rubles, or nearly $44 billion, creating a discrepancy between the figures.