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Belarus authorized the creation of state-supervised crypto banks under a presidential decree signed Friday, formalizing a controlled pathway for digital asset services as the sanctioned nation seeks alternatives to traditional cross-border payment systems.
Decree No. 19, signed by President Alexander Lukashenko, establishes ‘cryptobanks’ as joint-stock companies that must obtain resident status in the government-backed Hi-Tech Park and submit to dual oversight from both the central bank and park authorities—a model that embeds crypto activity firmly within state surveillance rather than creating a parallel financial system.
Under the new rules, cryptobanks must be formed as joint-stock companies and are permitted to combine token issuance, custody, and transactions with payments, settlements, and other financial services. Participation is limited to entities willing to operate inside Belarus’s tightly defined compliance perimeter.
Crucially, all state regulated crypto banks must obtain resident status in the Hi-Tech Park, a special economic zone designed to foster IT development, and be entered into a dedicated register maintained by the National Bank of Belarus.
“This approach avoids the creation of a parallel crypto economy,” the Belarusian government said in a statement accompanying the decree. “Digital asset services will be delivered through licensed institutions already embedded in the financial system.”
The structure reflects Belarus’s long-standing preference for controlled experimentation rather than open-ended liberalization.
The decree introduces a layered compliance model. Cryptobanks must follow regulations applied to non-bank credit and financial institutions while simultaneously implementing decisions issued by the Hi-Tech Park’s supervisory board.
According to the government, this dual oversight is intended to allow state regulated crypto banks to innovate without undermining financial stability.
“The framework allows for the combination of classical banking instruments with the efficiencies of tokenized transactions,” officials said, arguing that regulated integration is safer than unlicensed activity.
In practice, the model narrows participation to firms capable of meeting strict compliance, reporting, and technological standards — a hallmark of Belarus’s approach to digital assets.
The president’s office said the decree is part of a broader strategy to strengthen Belarus’s reputation as a financial IT center while preserving centralized oversight.
Belarus has spent years cultivating the Hi-Tech Park as a magnet for fintech and blockchain development, but state regulated crypto banks mark a step further by bringing crypto activity directly into the banking system.
Officials argue this approach offers predictability for businesses and consumers while protecting the state’s monetary interests.
“This is not deregulation,” said one Belarusian financial analyst familiar with the decree. “It’s a formalization of crypto under state control.”
The cryptobank framework builds on policy signals Lukashenko has been issuing for months. On Sept. 5, 2025, the president publicly instructed lawmakers to develop “clear and transparent rules” for the crypto market, explicitly stressing the need for state oversight alongside innovation.
Days later, he urged domestic banks to expand their use of crypto-based payments, pointing to growing international reliance on digital tokens for cross-border transactions.
On Sept. 10, Lukashenko linked the urgency directly to sanctions pressure, saying digital assets could help Belarus navigate restrictions on traditional financial channels.
“Banks must master new instruments,” he said at the time, according to state media. “This includes cryptocurrencies.”
The emergence of state regulated crypto banks can be seen as the institutional answer to that directive.
While Belarus is opening the door to regulated crypto banking, it has simultaneously tightened the screws on unlicensed activity.
In December, authorities blocked access to several major offshore crypto exchanges, citing violations related to advertising and consumer protection. The move signaled a broader effort to eliminate the crypto “gray market” and funnel activity into approved channels.
This carrot-and-stick approach reinforces the role of state regulated crypto banks as the only legitimate bridge between digital assets and the formal economy.
Belarus’s model stands in contrast to jurisdictions that either ban crypto outright or allow largely market-driven development. Instead, it reflects a growing global trend toward tightly supervised crypto banking.
By anchoring digital assets within licensed institutions, state regulated crypto banks could offer governments greater visibility into token flows while still enabling innovation.
Analysts note that similar discussions are unfolding in other sanctioned or semi-isolated economies, where crypto is viewed as both a risk and a strategic tool.
“Belarus is effectively saying crypto is acceptable — but only on the state’s terms,” said a regional fintech researcher.
Whether Belarus’s cryptobank experiment succeeds will depend on uptake, regulatory clarity, and international acceptance. For now, the decree sends a clear message: digital assets are welcome, but only within a tightly managed framework.
As state regulated crypto banks begin to take shape, Belarus is positioning itself not as a free-for-all crypto haven, but as a jurisdiction betting on order, oversight, and state-aligned innovation.
