Russians Rush to Physical Wallets Before New Crypto Rules Take Effect

The demand for cryptocurrency hardware wallets is rising in Russia ahead of new regulations. Russians more than doubled their purchases in the first half of 2026, according to two major retailers. This development comes as Moscow prepares a regulatory framework for digital assets. From September 1st, provisions will regulate exchanges and custodians. In this context, sales of devices designed to store private keys attract attention, despite the lack of precise figures on units sold.

Russians Increase Their Hardware Wallet Purchases

M.Video, a major Russian e-commerce and electronics retail player (Moscow Exchange: MVID), recorded an increase in sales of physical cryptocurrency wallets on its platform in the second quarter. The Russian retailer announced in a press release a 107% increase in volume compared to the first quarter.

We are seeing growing interest in hardware cryptocurrency wallets. In the second quarter, demand for this category on the M.Video platform more than doubled compared to the first quarter. This expanded product range allows us to offer our customers a wide choice of solutions, ranging from the most well-known global brands to the most innovative devices.

Fedor Pavlenko, Head of Computer Components Category at M.Video.

The sales value also increased by 92%. However, M.Video did not specify the number of devices sold. These figures show an acceleration in demand, without allowing precise evaluation of the number of buyers.

Wildberries reported an 84% increase in sales volume in the first half of the year. The comparison is made with the same period in 2025, according to the RIA Novosti agency, citing RWB, the platform’s parent company. Revenue increased by 60% year-on-year. Russians are thus showing growing interest in these solutions. The compared periods differ, however, which limits direct comparison of the results.

Why Are Russians Turning to These Devices?

A hardware wallet stores the private keys used to control cryptocurrencies on a dedicated device. It thus avoids placing this information on an Internet-connected service. This architecture can reduce some exposure risks. However, Russians must also consider the technical risks specific to these devices. On July 30, Coinkite revealed a Coldcard firmware vulnerability affecting the generation of recovery keys.

This vulnerability reminds us that physical storage does not eliminate all security issues. Losses linked to this flaw have been estimated at over 116 million dollars. Hardware wallets therefore remain subject to technical constraints. Their use is part of a context where the protection of keys also depends on the reliability of the device.

New Regulation Changing the Framework

Russian law does not prohibit non-custodial wallets and does not consider them illegal according to some lawyers at RBC. It bans withdrawals from Russian digital custodians to personal wallets. A transition period will remain open until July 1, 2027. Cryptocurrency transactions will then have to go through approved organizations, while banks will have to refuse operations outside this framework.

From September 1st, the new framework will authorize regulated exchanges and digital custodians. Some retail investors will be able to buy liquid cryptocurrencies after testing. An annual limit of 300,000 rubles per intermediary will apply. National payments in cryptocurrencies will remain prohibited. Russians will have to comply with more precise rules, while demand for hardware wallets could continue to evolve.

Sales trends should be monitored after the new framework comes into force. Upcoming data will show whether this increase reflects a temporary reaction or a more durable trend. They may also clarify the impact of the new restrictions on personal use of cryptocurrencies in this market.