Russian law enforcement agencies have long been able to confiscate cryptocurrencies as part of an investigation, but usually store them on physical media. Now the authorities are preparing a special platform.

State Duma deputies may approve bills to regulate cryptocurrencies in the country already in the spring session. Therefore, the authorities thought about the possibility of using confiscated cryptocurrencies. Currently, their storage is organized like the storage of ordinary physical evidence, but with the help of a centralized cryptocurrency platform, the state will be able to manage the entire amount of digital assets. That is, after the confiscation of cryptocurrencies, investigators will transfer them to a new state platform.

“To study the issue of creating a digital currency platform localized on the territory of the Russian Federation and under state control for the purpose of their seizure and storage within the framework of criminal proceedings. The government commission must be informed about the work carried out by October 1, 2024,” said the order of the Minister of Internal Affairs Vladimir Kolokoltsev.

The Ministry of Finance will “work through the issue”, and the initial initiative to create such a platform came from this department. The initiative is also supported in the relevant committees of the State Duma.

“Life is evolving, new technologies and tools are appearing that law enforcement agencies need to use. If they confiscate cryptocurrency, it must be stored somewhere. But it is obvious that it cannot simply be placed in a warehouse. A special digital platform created by the state should be created for it. Therefore, the formulation of the question is absolutely correct,” said Anatoly Aksakov, head of the State Duma Committee on the Financial Market.

Market participants are also in favor of creating a special platform. They note that currently the procedure for storing confiscated cryptocurrencies is not regulated, and assets often remain in the accounts of foreign sites. The state platform will strengthen state control over digital assets and reduce the risks of using cryptocurrencies in illegal activities.

Let us note that so far the United States remains the leader in the volume of confiscations of cryptocurrencies – thanks to large confiscations of assets associated with the Bitfinex hack and the Silk Road platform, about 200,000 bitcoins were deposited into the accounts of the US federal authorities.