Russia's Constitutional Court is reviewing whether stablecoins, specifically USDT, should receive property protection under existing law. Officials argue that stablecoins do not hold a Digital Financial Asset (DFA) position within the national legal framework. This case could significantly influence future property rights for digital coins held by citizens across Russia.
A Legal Dispute Escalates to National Review
The case originated from a dispute over a 1,000 USDT loan. Dmitry Timchenko lent the stablecoins to a borrower in 2023, who subsequently refused to return them. Timchenko filed a complaint with the Savelovsky District Court, but his claim was rejected. The court's reasoning was that Russian Digital Financial Assets (DFA) rules do not encompass foreign-issued stablecoins.
Timchenko appealed this decision to a higher court, which upheld the initial ruling. His subsequent appeal to the Supreme Court also resulted in the original verdict being maintained. Each court consistently stated that USDT does not fall under the scope of the 2021 digital financial asset framework.
Undeterred, Timchenko brought the case before the Constitutional Court. His legal team argued that the lower courts' decisions imposed property restrictions in a manner inconsistent with how other asset classes are treated in Russia. His representatives asserted to the court that "no other type of property is subject to such restrictions in Russia."
Previously, rulings in criminal cases had recognized intangible digital assets, such as Bitcoin and Ethereum, as property. Timchenko's legal team utilized these precedents to bolster their argument. They highlighted that the divergence between criminal and civil rulings resulted in unequal legal treatment for digital assets.
Official Stance: Stablecoins as Monetary Surrogates
During the Constitutional Court hearing, senior officials presented detailed testimonies. Alexey Guznov, Deputy Chairman of the Central Bank, informed the court that fiat-pegged stablecoins function as "a monetary surrogate." He further elaborated that they are not classified as digital financial assets under the current legislation.
Reports indicate that experts advised the court that stablecoins are not covered by the regulations governing digital currency circulation. In Russia, DFAs are precisely defined and relate to tokenized forms of securities, capital-participation rights, or monetary claims.
The Central Bank's website further clarifies that DFAs represent specific digital rights, including those linked to securities or claims associated with corporate participation. However, the current law does not address overseas stablecoins like USDT.
Rapid Stablecoin Market Growth Intensifies Scrutiny
This case emerges at a time of significant global expansion for stablecoins. Data from DefiLlama shows the stablecoin market reached a value of $303 billion in 2025, marking a nearly 50% increase from the preceding year.
US Treasury Secretary Scott Bessent has recently projected that the global stablecoin market could potentially reach $3 trillion by 2030. This rapid growth adds considerable weight to the court's decision, which may shape how Russian institutions approach the escalating use of stablecoins.
Analysts suggest that if stablecoins lack legal protection, individuals may become more inclined to use them for everyday transactions. Furthermore, they caution that users could face significant risks if an issuer decides to freeze assets without prior notification. This concern is particularly relevant given Russia's limited access to global financial systems.
Russian legislators are already focused on proposing enhanced controls over unregulated cryptocurrency operations. The court's forthcoming decision is likely to be a key factor in shaping these measures and determining the fundamental question of whether stablecoins will be recognized as property.