According to Odaily Planet Daily, Russia has been trying to track cryptocurrency transactions and their sources since 2023. The Bank of Russia and the Russian Federal Financial Monitoring Service (Rosfinmonitoring) revealed that there is currently a system that allows private banks to track the connection between fiat-based transactions and cryptocurrency businesses.

The announcement was made at the forum on “Current AML/CFT Issues” organized by Rosfinmonitoring, which also disclosed that the pilot, which will start in 2023 and in which five large credit institutions are working with Rosfinmonitoring, is expected to last until April next year, but could also be extended.

Ilya Bushmelev, director of project portfolio management at Rosfinmonitoring partner Innotech, said the pilot could help banks establish “know your crypto customer” and “know your crypto transaction” procedures, noting that the system could be useful for compliance and regulatory purposes.