Russia Can’t Do Without Cross-Border Crypto Payments, Consensus Reached – Finance Bitcoin News

Russia Can’t Do Without Cross-Border Crypto Payments, Consensus Reached – Finance Bitcoin News

Key government institutions have agreed that Russia must legalize crypto payments for international settlements. The proposal has gained support in recent months since Moscow’s decision to invade Ukraine was met with wave after wave of Western sanctions.

Financial authorities in Russia are considering legalizing international cryptocurrency payments

In the current conditions, “it is impossible without cross-border settlements in cryptocurrencies”, concluded the Russian Ministry of Finance and the Central Bank after reviewing their positions on the matter, according to Russian media. The institutions are clearly referring to restrictions imposed by the conflict in Ukraine, which have significantly limited Russia’s access to global finance.

Both financial regulators now consider it necessary to legalize international settlements with cryptocurrencies, Deputy Minister of Finance Alexey Moiseyev revealed in an interview with TV channel Russia-24, as reported by the Tass agency. He thinks that should happen soon.

The two institutions have had a long-standing conflict over the regulation of digital currencies such as bitcoin within Russia, with the Ministry of Finance (Minfin) advocating for the legalization of various operations with them and the Bank of Russia proposing outright ban earlier this year.

Moiseyev admitted it differences stay. But a senior official pointed out that the Central Bank of Russia (CBR) updated their approach to crypto payments in the context of foreign trade relations, taking into account the changed situation. He further elaborated:

We are reviewing it. Because the infrastructure we plan to create is too rigid for the use of cryptocurrencies in cross-border settlements, which, of course, we must first of all legalize somehow.

The Deputy Minister of Finance explained that the goal will be to give the Russians the opportunity to use cryptocurrency in international payments, on the one hand, and on the other hand to put it under control so that there is no possibility of using it for money laundering, payment. for drugs or other illicit purposes.

The Ministry of Finance also proposes to allow people who now open crypto wallets abroad to have wallets offered by domestic entities under CBR supervision. They will be obliged to comply with state regulations on the fight against money laundering and know your client, Moiseyev emphasized.

In June, Governor of the Bank of Russia Elvira Nabiullina he said that cryptocurrencies can be used for payments as long as they do not “penetrate” the Russian financial system. Commenting on Moiseev’s latest statements to RIA Novosti, the bank’s press service pointed out that the monetary authorities and the Ministry of Finance are not talking about the legalization of payment or exchange of cryptocurrencies within the country. Recently, the Russian Prime Minister Mikhail Mishustin described digital means as a “safe alternative” in foreign trade.

Tags in this story

access, Bank of Russia, CBR, Central bank, of conflict, Crypto, crypto payments, cryptocurrencies, cryptocurrency, Ministry of Finance, foreign trade, international payments, international settlements, legalization, Minfin, positions, Regulation, restrictions, Russia, Russian, Sanctions, Ukraine, War

Do you think Russia will legalize international crypto payments in the near future? Share your expectations in the comments section below.

Russia Can’t Do Without Cross-Border Crypto Payments, Consensus Reached – Finance Bitcoin News

Lubomir Tassev

Lubomir Tassev is an Eastern European technology journalist who loves the Hitchens quote: “Being a writer is who I am, not what I do.” Apart from crypto, blockchain and fintech, international politics and economics are two other sources of inspiration.

Image Credits: Shutterstock, Pixabay, Wiki Commons, Aleksandr Khmeliov

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