The Russian State Duma has approved the first reading of a government-proposed cryptocurrency tax reform bill. The legislation establishes the tax base as the positive difference between cryptocurrency transaction income and expenses, allowing investors to offset profits with losses within the same tax period. Brokers and trustees are required to act as tax agents, withholding personal income tax only on documented expenses, and must retain copies of these documents for five years. Foreign-issued digital financial assets will be classified as cryptocurrencies. Additionally, digital ruble debt instruments traded on the Moscow Exchange will be taxed at a preferential rate similar to corporate bond interest. Authorities will permit the carryover of losses from digital financial assets to future tax periods, aligning with securities and derivatives, though this provision's activation depends on the stabilization of digital asset trading. Sales of foreign digital rights without physical delivery will be exempt from VAT. The Duma's Budget and Tax Committee recommends that licensed crypto exchanges collect personal income tax in the second reading.