Cryptocurrency Use for International Payments

Russia Consider Cryptocurrency Use for International Payments

Russia is considering approving cryptocurrency to be used for international payments, Interfax news organization restated a government official as saying on Friday.

Digital currencies

“The idea of using digital currencies in transactions for international agreements is being ardently discussed.” Ivan Chebeskov. The administrator of the finance ministry’s financial policy department quote as saying.

Crypto market

Afterward, Russian officials are grappling with how to manage the country’s crypto market and use of digital currencies, with the finance ministry averse to the central bank’s calls for a complete ban.

Discussions have been in progress for months and though the government expects cryptocurrencies to legalize as a means of payment sooner or later, no accord reach.

Vedomosti newspaper

The finance ministry is discussing adding the fresh project on international payments to a modernized version of the proposed legislation, while the Vedomosti newspaper announced on Friday, citing government officials.

Approving crypto as a means of settlement for international trade would help counter the impression of Western sanctions, which has seen Russia’s connection to traditional cross-border payment apparatus “limited,” Mr. Chebeskov said.

Russia is moving forward with plans to create its own digital rouble. The government, on the other hand, has just recently begun to endorse the usage of private cryptocurrencies. For years, Russian officials claim that cryptocurrency may be use to launder money or fund terrorists.

Central Bank Governor Elvira Nabiullina

Central Bank Governor Elvira Nabiullina had stated in a report issued earlier this month. That the bank cannot welcome cryptocurrency investments and advocated prohibiting trade and mining. While Russian cryptocurrency transactions total roughly $5 billion (€4.76 billion) every year.

Other central bank officials declared last year that bitcoin had no place in Russia’s economy. Citing the risk of financial instability posed by an increase in cryptocurrency transactions.

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