Ban on Account Transfer: How New Legislation Will Change the Gaming Market

Background and Objectives of the New Law

In mid-July 2025, the State Duma approved amendments in the second reading that tighten control over the transfer of accounts and other data for accessing digital services. Initially, the initiative aimed to combat phone fraud and the illegal use of SIM cards, but its scope extends to the video game market as well. The goal of these changes is to put an end to schemes where malicious actors use someone else's phone numbers or accounts to bypass identification and commit illegal actions. However, ordinary users of online services, including gamers, are indirectly affected.

Key Provisions and Penalties

The amendments to the legislation impose both administrative and criminal liability for the illegal transfer of login data. A new article has been added to the Code of Administrative Offenses (CAO RF) that provides for fines for such actions:

• For individuals: fines ranging from 30,000 to 50,000 rubles;
• For individual entrepreneurs: fines from 50,000 to 100,000 rubles;
• For legal entities: fines from 100,000 to 200,000 rubles.

Additionally, changes have been made to the Criminal Code of the Russian Federation, introducing penalties for the so-called “organization of activities” related to the transfer of someone else's account information. In cases where the transfer of usernames and passwords occurs for mercenary motives or to facilitate criminal acts, offenders face criminal liability. The maximum sanctions include fines up to 700,000 rubles and imprisonment for up to three years. Even participation in such schemes (not necessarily their organization) can lead to criminal penalties of up to two years in prison. In effect, the law equates trading access to accounts with serious violations if material gain or other criminal intent can be proven.

Prohibited: Accounts, Boosting, and Leveling Up

For the gaming industry, the new rules mean a ban on a wide range of popular services and practices. Since the law explicitly prohibits the transfer of third-party authorization information (i.e., login and password), the following services are effectively banned:

• Sale of gaming accounts and profiles (for example, accounts with all purchased games or a high level in an online game);
• Transfer of a character or account to another player for leveling up or completing game tasks;
• Rating boosting – a service where professional players access the client's account to enhance their ranking in rated matches.

All these schemes were popular among gamers, especially in online games. For many players, this "gray" market was a way to save time – instead of spending long hours leveling up themselves, they paid more experienced peers for a quick result. Now, any transfer of account details, even with the owner's consent, formally falls under the new restrictions. This raises concerns that relatively harmless situations – such as a friend temporarily accessing your account to help complete a difficult level – could also be impacted.

Market Response: Closure of Services and Payment Blockages

The new rules have already prompted an immediate response from participants in the gaming market. Russia's largest digital goods exchange, FunPay, where users traded gaming items, currency, and accounts, announced the closure of sections related to account transfers. According to FunPay representatives, consultations with legal services and banks indicated that with the law's implementation, such operations would become impossible – banks would refuse to process payments for transactions involving the transfer of login and password information. Thus, the financial infrastructure itself will start blocking the monetization of these services.

Similar steps are being taken by other platforms. On specialized forums and marketplaces, sections where accounts were sold or character boosting was offered have already been removed. Market participants acknowledge that with the enforcement of the law, all activities related to the resale of gaming accounts in Russia will be outlawed. In effect, the previously semi-legal segment of virtual services may cease to exist or fade into deep obscurity.

The Gaming Community Sounds the Alarm

While news of the amendments emphasized combating fraudsters, the gaming community quickly noticed the potential ramifications for law-abiding gamers. A wave of discussions has emerged on social media and forums – many fear that even the standard practice of sharing an account with close friends for joint gaming could now be prohibited. Representatives of FunPay have urged their clients – gamers and esports players – to reach out to State Duma deputies for clarification on the wording. In an open letter, gamers pointed out that “the ban on transferring user authorization information, initially directed against phone fraudsters, could be interpreted as a ban on granting third-party access to a gaming account, even to a friend or acquaintance.”

Although the bills have not yet passed all approval stages, the gaming community hopes to influence the final wording. Players emphasize the importance of drawing a clear line between criminal schemes and ordinary user behavior, so that well-intentioned enthusiasts are not caught in the crosshairs of law enforcement.

Clarifications from Authorities and Legal Status

In turn, representatives of the legislative authority are attempting to reassure the public. The authors of the amendments emphasize that the aim is to punish only wrongdoers, not honest users. The text of the new CAO article even includes a provision stating that an administrative offense does not occur if the transfer of account details occurs for legitimate use by another person with the request or consent of the account owner. Furthermore, the Deputy Chairman of the State Duma Committee on Information Policy, Anton Gorelkin, publicly stated that gaming services should not panic, as sanctions will only be applied in situations where the transfer of an account is related to criminal activity – for example, when used for fraud, terrorist, or extremist purposes.

However, lawyers view such clarifications with caution. They note that the actual wording of the law is still vague. The concept of “transfer by the user’s request” is not detailed anywhere, leaving room for interpretation. Ultimately, understanding how the new norms will be applied will only become clear after the law is adopted in its final form and official clarifications are published. Meanwhile, market participants prefer to prepare for the strictest scenario.

Impact on the Industry and Business

The implications of the ban on account transfer are multifaceted. On one hand, the tightening of regulations eliminates the shadow segment of the market, which has grown in recent years thanks to the popularity of online games. Many small entrepreneurs and freelancers earned money through character leveling or the sale of leveled profiles, while platforms like FunPay collected commissions from such deals. Now this source of income will be cut off, which will affect the revenues of those services.

On the other hand, official game publishers might benefit from this situation. Previously, the trading of accounts and boosting occurred outside the control of developers, often violating user agreements. The legislative ban may lead to players increasingly utilizing approved methods for accelerating progress – such as in-game purchases and other official mechanics. Additionally, a reduction in boosting practices may enhance fairness in competitive gaming, positively impacting the reputation of the esports scene.

For investors and participants in the gaming industry, the new rules signal an increase in regulatory risks. The state is increasingly intervening in the digital sector – from content and communications to video games. It is crucial for investors to consider that the legal environment may change rapidly, necessitating flexibility and readiness to comply with new requirements from businesses. Companies operating in the Russian market for digital entertainment must ensure their services comply with legal standards to avoid fines and sanctions.

Outlook and Conclusions

The final adoption of the amendments and their entry into force are expected in the fall of 2025. By this time, additional clarifications from the authorities should emerge, defining the exact boundaries of what is permissible. The gaming community hopes that mechanisms for legally transferring accounts via a power of attorney will be clearly outlined – which would allow users to share their accounts with a close person for harmless purposes without concerns.

Nevertheless, the trend is evident: the era of freely reselling gaming accounts and leveling services in Russia is coming to an end. The market will adapt – some users will comply and abandon such services, while others may move to foreign platforms or go underground. For the video game industry in the country, this is a signal for increased caution: business models that previously operated at the edges of regulation now require reevaluation. For investors, it is crucial to monitor the developing situation – heightened regulation may reduce some risks (such as fraud and illegal data turnover) while creating new barriers to growth. Ultimately, the market for digital services is transforming under governmental pressure; companies will need to strike a balance between audience interests and regulatory demands.