Crypto on Pause: The Central Bank Will Introduce a 48-Hour “Cooling-Off Period”
By EIDEX Team
The Bank of Russia intends to prohibit the instant release of funds after cryptocurrency transactions. According to First Deputy Chairman of the Central Bank Vladimir Chistyukhin, a “cooling-off period” will be set for legal crypto deals — a window during which a financial institution is required to block the withdrawal of money. Its duration will be 48 hours.
Why It Is Needed
The measure is meant to protect investors and make life harder for fraudsters: the Central Bank considers cryptocurrency transactions extremely risky. The regulator’s tough stance has been voiced more than once, including in interviews with Elvira Nabiullina. The pause will give banks time to spot suspicious transfers, but bona fide investors will also have to wait up to two days for their money.
What is the Central Bank’s cryptocurrency “cooling-off period”?
It is a mandatory pause during which a financial institution blocks the withdrawal of money after a legal cryptocurrency transaction. The Bank of Russia is introducing it to give banks time to detect suspicious transfers.
How long is the cooling-off period?
48 hours. During this window, funds from a crypto transaction cannot be withdrawn instantly, so investors may have to wait up to two days for their money.
Why is the Bank of Russia introducing this measure?
To protect investors and make life harder for fraudsters. The regulator considers cryptocurrency transactions extremely risky and wants banks to have time to spot suspicious activity.
