Bank of Russia to Test International Crypto Payments With Companies

Bank of Russia to Test International Crypto Payments With Companies

The Central Bank of Russia plans to use cryptocurrency for cross-border payments in trials with private companies, a member of its top management has revealed. The testing will be conducted under a special legal regime that’s currently under development.

Russia’s Central Bank to Explore Crypto Settlements Amid Financial Sanctions

The Central Bank of the Russian Federation (CBR) intends to trial international trade settlements with cryptocurrencies, the monetary authority’s First Deputy Chairman Olga Skorobogatova announced on Monday.

“We are now planning, within the framework of the experimental legal regime that we are preparing, to try the use of cryptocurrency for international settlements, that is, for foreign economic activity,” she said, quoted by the Tass news agency.

Speaking at the State Duma, the lower house of Russian parliament, Skorobogatova detailed that the pilot project will be carried out with interested companies. However, she did not specifically name the market participants that will join in.

Government institutions in Moscow have been working to expand the regulatory framework for digital financial assets to cover decentralized cryptocurrencies. The central bank has been a strong opponent to their legalization in Russia but has softened its stance amid Western restrictions over the invasion of Ukraine, that have limited the country’s access to global finances and markets.

In September, Deputy Minister of Finance Alexey Moiseev revealed that his department and the monetary policy regulator have agreed that, in the current conditions, it would be impossible for Russia to do without cross-border settlements in cryptocurrency.

Nevertheless, the CBR maintains its position against allowing the free circulation of digital currencies like bitcoin under Russian jurisdiction, including domestic crypto payments. It recently backed legislation designed to regulate mining, provided the minted crypto is exchanged abroad or exclusively under special legal regimes inside Russia.

Tags in this story Bank of Russia, CBR, Central Bank, cross-border payments, Crypto, crypto payments, crypto settlements, Cryptocurrencies, Cryptocurrency, foreign trade, international settlements, invasion, legalization, Regulation, restrictions, Russia, russian, Sanctions, Settlements, Ukraine, War

Do you think the Bank of Russia will eventually agree to legalize crypto transactions in the country? Share your expectations in the comments section below.

Lubomir Tassev

Lubomir Tassev is a journalist from tech-savvy Eastern Europe who likes Hitchens’s quote: “Being a writer is what I am, rather than what I do.” Besides crypto, blockchain and fintech, international politics and economics are two other sources of inspiration.

National Bank of Kazakhstan Publishes Whitepaper for Digital Tenge FINANCE | 3 days ago Blackrock Warns of Unprecedented Recession for 2023, Bull Markets Not Returning FINANCE | Dec 13, 2022

Image Credits: Shutterstock, Pixabay, Wiki Commons, Ultraskrip / Shutterstock.com

Previous article

Bitcoin.com Games Reveals Top Slots of 2022, Players to Get 50 Free Rounds Every Day for Christmas

Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.

Read disclaimerShow comments

More Popular News

In Case You Missed It

Central Bank of Brazil Confirms It Will Run a Pilot Test for Its CBDC This Year

The Central Bank of Brazil has confirmed that the institution will run a pilot test regarding the implementation of its proposed central bank digital currency (CBDC), the digital real. Roberto Campos Neto, president of the bank, also stated that this … read more.

Tony Hawk’s Latest NFTs to Come With Signed Physical Skateboards UAE Airliner Emirates to Launch NFTs and Experiences in the Metaverse Digital Ruble ‘Much Needed,’ Russia’s Central Bank Says, Won’t Delay Testing Terra’s Algorithmic Dollar-Pegged Crypto UST Is Now the Third-Largest Stablecoin

Source