Belarus Establishes Legal Framework for Cryptobanks to Facilitate Cross-Border Payments

Belarus has taken a significant step towards integrating digital assets into its mainstream financial system. On January 16, 2026, President Alexander Lukashenko signed Decree No. 19, establishing a formal regulatory framework for 'cryptobanks' within the country. This move is set to open new opportunities for cross-border payments and reinforce Belarus's ambition to become a leading financial IT hub in Eastern Europe.

New Regulatory Framework for Cryptobanks

The newly signed Decree No. 19 defines cryptobanks as joint-stock companies capable of conducting operations with digital tokens while simultaneously offering standard banking and payment services. This innovative approach aims to bridge the gap between traditional finance and the rapidly evolving digital asset market. The framework is designed to connect digital assets with regulated financial services under strict state supervision.

Operational Requirements and Dual Oversight

To operate as a cryptobank, interested institutions must meet stringent requirements. They are mandated to obtain residency in the High-Tech Park (HTP), often referred to as the 'Silicon Valley of Eastern Europe,' and subsequently register in a dedicated cryptobank registry maintained by the National Bank of Belarus. This dual qualification process ensures oversight from both technology-focused authorities and traditional financial regulators. Furthermore, cryptobanks will be subject to a minimum capital requirement of 20 million Belarusian rubles (approximately $7 million), alongside an additional 10 million rubles deposit with the National Bank, underscoring the government's commitment to balancing innovation with risk management.

Expanded Services and Economic Motivation

The services offered by these new cryptobanks are expected to be comprehensive, combining the functions of a traditional bank with those of a cryptocurrency exchange. Key features include:

• A unified balance sheet that makes no distinction between fiat money and cryptocurrency.
• The ability to issue bank cards linked exclusively to crypto accounts.
• Offering loans secured by cryptocurrency.
• Enabling self-employed citizens to receive salaries in cryptocurrency, provided transactions occur through a licensed cryptobank.

This regulatory development comes as Belarus seeks to leverage the growing importance of cryptocurrencies for cross-border transactions, particularly amidst international sanctions. The government's strategy, which also includes exploring crypto mining using surplus nuclear energy and a planned digital ruble in H2 2026, aims to reduce dependency on the U.S. dollar and position the country as a regional hub for digital assets.

Future Outlook

Alexander Yegorov, First Deputy Chairman of the Board of the National Bank, indicated that the first cryptobank could emerge within six months of the decree's enactment. He described the regulation as 'one of the most anticipated' globally due to its unique and comprehensive nature. This initiative builds upon Belarus's earlier legalization of cryptocurrency transactions in 2017 through Decree No. 8 'On the Development of Digital Economy,' which provided a foundation for blockchain and cryptocurrency regulation within the HTP.