Belarus Approves First Two Crypto Banks with Strict Capital Rules
Belarusian authorities have approved the registration of the country's first two crypto banks, setting high capital requirements and establishing a dual oversight model.
Belarus has taken a dramatic step to bridge traditional banking with the digital asset sector as the Supervisory Board of the High-Tech Park (HTP), headed by Prime Minister Alexander Turchin, registered the country's first two crypto banks. While the names of the institutions remain confidential, they are established entities that have operated within the park and built tailored infrastructure.
Regulatory Framework and Capital Requirements
To begin operations and serve clients, the two entities must clear an additional regulatory hurdle and receive approval from the National Bank of Belarus. Local regulations establish a dual supervision model combining the HTP and the central bank. To ensure financial stability, the government set an exceptionally high entry barrier: a capital requirement of approximately 10 million dollars (30 million Belarusian rubles) for a standard crypto bank, and double that amount at 60 million rubles for an institution seeking to manage public deposits. Market estimates suggest that trading platform WhiteBird is among the candidates.
Historical Context and International Scrutiny
Belarus has a history of standing at the forefront of digital currency regulation. Back in 2017, President Alexander Lukashenko signed a groundbreaking decree legalizing crypto trading and mining while granting extensive tax exemptions. Subsequently, the president actively encouraged the establishment of Bitcoin mining farms to utilize surplus electricity in the country, and the current initiative to create a separate legal category of crypto banks represents another pillar in Minsk's policy to attract foreign investors and capital.
Meanwhile, the exposure of shadowy financial mechanisms in Eastern Europe comes against the backdrop of a broader international storm. A comprehensive investigation by the Financial Times, based on hundreds of thousands of internal documents, revealed that Russian fintech company A7 transferred at least 6.9 billion dollars through the international banking system. According to the findings, the Kremlin-linked company paved money laundering routes using a branched network of shell companies and forged documents designed to completely disguise the origin and destination of the funds, with some of these payments used directly to purchase military equipment and finance the needs of Russian security services.
