 — Osman Kabaloev, deputy director of the Finance Ministry’s financial policy department, said Russia should develop its own stablecoin. His comments followed the March 6 wallet freeze affecting the Russian crypto exchange Garantex. Reuters and TASS reported his statement on April 16. Kabaloev said, “We do not impose restrictions on the){kind=link}
YEREVAN (CoinChapter.com) — Osman Kabaloev, deputy director of the Finance Ministry’s financial policy department, said Russia should develop its own stablecoin. His comments followed the March 6 wallet freeze affecting the Russian crypto exchange Garantex.
Reuters and TASS reported his statement on April 16. Kabaloev said,
“We do not impose restrictions on the use of stablecoins within the experimental legal regime. Recent developments have shown that this instrument can pose risks for us.”
He added that Russia may need to develop tools “akin to USDT, potentially pegged to other currencies.” The focus is to avoid outside interference in stablecoin operations.
Garantex Hit by U.S. and Tether Sanctions
On March 6, U.S. law enforcement worked with Germany and Finland to freeze domains linked to Garantex. The U.S. Department of Justice claimed the exchange processed over $96 billion in criminal funds since 2019.
On the same day, stablecoin issuer Tether froze $27 million in USDT tied to Garantex. As a result, the exchange stopped all activities, including withdrawals.
Garantex had already been sanctioned by the U.S. Treasury’s Office of Foreign Assets Control in April 2022 for alleged money laundering. The latest freeze followed this earlier action.
Garantex Exchange Reportedly Rebrands After Crackdown
A Swiss blockchain analytics company said Garantex reappeared under a new name. According to the firm, the platform used ruble-backed stablecoins and transferred funds to a newly launched exchange.
The report did not name the new platform but claimed it had links to the original Garantex setup. This rebranding attempt followed the $27 million USDT freeze and the complete suspension of services.
The Finance Ministry now sees stablecoins as a risk and is considering local alternatives to maintain control and avoid similar incidents.
Russian Stablecoin Proposal Follows Crypto Fund Suggestion
Evgeny Masharov, a Civic Chamber member, proposed on March 20 that Russia create a government crypto fund. The fund would hold crypto assets seized during criminal investigations.
This proposal came as officials pushed new laws to treat cryptocurrencies as property in court cases. This would let investigators use crypto assets in legal procedures.
Russian authorities have not yet passed this legislation. However, efforts continue as the country explores legal frameworks for digital assets.
Stablecoin Market Surpasses $200 Billion in 2025
Stablecoins grew rapidly over the past year. Their market capitalization crossed $200 billion in early 2025, up from mid-2023 levels.
A report from Artemis and Dune showed a 50% rise in active stablecoin wallets in one year. The report also highlighted high trading activity.
In 2024, stablecoins recorded $27.6 trillion in transaction volume. This total was 7.7% higher than the combined volumes of Visa and Mastercard.
Notably, the use of stablecoins has increased worldwide, driven by automated trading and expanding crypto platforms.