Russia is considering allowing the use of cryptocurrencies for international payments. The news comes at a time when the country is suffering from sanctions from the United States and Europe as a whole over the invasion of Ukraine in February this year.
In this context, the country ruled by Vladimir Putin is advancing in the regulation of digital assets. And apparently it plans to use them for international business as well, according to a report by the Reuters news agency.
“The idea of using digital currencies in transactions for international agreements is being actively discussed,” said Ivan Chebeskov, head of the finance policy department at the Ministry of Finance.
Digital assets for international payments
According to the report, these discussions have been ongoing for some time. However, nothing has been formalized so far.
Chebeskov was also quoted as saying the move would allow the country to counter sanctions implemented by Western countries in the wake of Russia’s invasion of Ukraine.
Meanwhile, local newspaper Vedomosti reported that the Ministry of Finance is discussing adding this recent proposal on international payments to an updated version of an ongoing bill.
The bill in question contains a detailed regulatory framework for cryptocurrencies. The legislation mainly addresses mining and the circulation of cryptocurrencies in the country.
In addition, the project also introduces the concept of professional and non-professional buyers. At the same time, the new bill introduces several requirements for identification, accounting and certification of crypto users.
Recently, Minister Denis Manturov – head of Russia’s Ministry of Industry and Commerce – confirmed that the country is going to legalize cryptocurrencies somehow sooner rather than later. However, he did not provide a precise date for this to happen.
Russia forges ahead with central bank digital currency
In addition to moving forward with cryptocurrency regulation, Russia is also rushing to launch its CBDC. That is, your central bank-issued digital currency.
Russian government said the country will have a “digital ruble” by next year.
According to the authorities, the Russian digital currency will allow the country to make international payments. The initiative is the alternative that Moscow has found to be able to make important payments amid sanctions.
“The digital ruble is among the priority projects,” said the president of the country’s central bank, Elvira Nabiullina. “We quickly created a prototype. We are now conducting tests with banks and next year we will gradually have pilot transactions.”