Belarus sets crypto-bank rules while Solana-linked exec faces fraud charges

MINSK, Belarus, The National Bank of Belarus has published long-awaited regulations that spell out exactly which digital assets can be held by licensed “crypto-banks” operating inside the country, a move analysts say could accelerate institutional adoption of cryptocurrencies in Eastern Europe.

The framework, signed 21 May 2025 and published 27 May 2025, lists 32 tokens, including Bitcoin, Ethereum, Litecoin, XRP, Cardano, Solana, Polkadot, and Stellar, that Belarusian institutions may custody, trade, or lend against. The list may be expanded annually, but only after an internal review that evaluates liquidity, market capitalization, regulatory status, and cybersecurity standards. “This is the first time we have a clear, public list of permissible assets,” said Belarusbank chief digital officer Olga Novikova. “It removes a major legal gray zone for banks that want to offer crypto services.”

Under the new rules, each crypto-bank must maintain real-time surveillance systems capable of flagging suspicious transactions and must segregate customer funds from proprietary holdings. Annual audits are mandatory, and the central bank can revoke licenses for violations. Industry analysts estimate that roughly 12 existing Belarusian banks have already applied for crypto-banking licenses, with several more expected to follow once the final technical guidelines are issued in July.

Solana ecosystem rocked by arrest of token-launchpad founder

Across the region in the United States, the Solana ecosystem faced fresh scrutiny after Benjamin Pasternak, founder of the Solana-based token launchpad Believe, was taken into custody in New York on 30 May 2025 on charges of assault, strangulation, and securities fraud. The arrest follows a class-action lawsuit filed by 140 investors who allege that Believe raised $24 million in an initial coin offering in 2023 and then breached a promised over-the-counter (OTC) token sale, diverting funds instead of executing the trade. Court filings show Pasternak’s defense team entered a plea of not guilty on 3 June 2025, with arguments focusing on the “complex, decentralized nature” of the transaction.

The charges carry maximum penalties of 25 years in prison if convicted. Although Solana’s native token SOL traded within a tight range of $152, $155 during the week of the arrest, down just 2 % from the prior week, the incident has reignited debate over transparency in Solana-based fundraising platforms. “This is a cautionary tale for retail investors who chase high-yield Solana launchpads without performing basic due diligence,” said CoinGecko data analyst Ryan Lee. “Launchpads are not regulated like traditional broker-dealers, and the lack of disclosure requirements can leave investors exposed.”

Believe’s website and Twitter account were taken offline shortly after the arrest, and several smaller projects that had planned to use the platform for token launches have since migrated to alternative launchpads such as Solanium and Drift Launch. Trading volumes on Solana-based decentralized exchanges fell 7 % in the 48 hours following the news, according to data from DeFiLlama.

Regulatory clarity vs. ecosystem risk

The juxtaposition of Belarus’s structured approach and the U.S. enforcement action highlights two diverging paths for altcoin adoption. In Eastern Europe, regulators are moving to integrate cryptocurrencies into mainstream finance, while in the United States, authorities are doubling down on enforcement against alleged fraud in the decentralized finance (DeFi) sector.

Belarus’s 32-token list includes only three stablecoins, USDT, USDC, and DAI, despite repeated industry calls for a broader set. “We decided to err on the side of caution,” said National Bank deputy chair Alena Zabelina. “These three stablecoins have transparent reserve attestations and deep liquidity on multiple exchanges.” Exchanges based in Belarus must now apply for a separate license to list any token not included on the approved list, a process expected to take 90, 120 days.

Meanwhile, the U.S. case against Pasternak underscores the persistent risks in Solana’s high-growth launchpad market. According to The Block’s DeFi data, the total value locked (TVL) across Solana-based launchpads surged from $120 million in January 2025 to $340 million in May, driven by high promised yields and low barriers to entry. “Yields of 30, 40 % APY are not sustainable without significant risk,” said Coin Metrics analyst Meltem Demirors. “When a major platform collapses, it can wipe out years of retail confidence.”

For Brazilian investors watching from Latin America, the Belarus model offers a potential blueprint for how emerging markets can formalize crypto banking without stifling innovation. “The key is a transparent, rule-based system that protects consumers while giving banks the legal certainty to participate,” said ABCripto executive director Fernando Ulrich.

Yet the U.S. enforcement action serves as a reminder that even in regulated jurisdictions, fraud risks remain acute in the altcoin ecosystem. “Investors should treat Solana launchpads like early-stage venture capital: high risk, high reward, and only allocate what they can afford to lose,” Ulrich added.

Market impact and what comes next

The Belarus crypto-banking rules are expected to unlock an estimated $400, 600 million in new institutional capital over the next 18 months, according to estimates by CryptoQuant. The majority of inflows are projected to come from neighboring Russia and Kazakhstan, where local regulations remain restrictive.

On the Solana front, the case against Pasternak is still in the pre-trial phase, with a status hearing scheduled for 15 July 2025. Analysts expect elevated volatility in SOL and associated altcoins until the legal outcome is clear. In the meantime, the Solana Foundation has distanced itself from Believe, stating that the platform was “an independent project” and not officially endorsed by the foundation.

For now, the contrasting regulatory environments illustrate a broader global divide: countries willing to integrate cryptocurrencies into traditional finance versus those where enforcement actions continue to shape market sentiment. For altcoin investors, the Belarus initiative offers a glimpse of institutional legitimacy, while the U.S. case reinforces the need for caution in high-yield, low-regulation segments.