Russia is preparing to launch trials for cryptocurrency exchanges and cross-border digital transactions, a move aimed at easing the payment challenges caused by widespread international sanctions.
Bloomberg confirmed this development in a recent publication, citing two sources familiar with the matter. The report suggested that the trials will begin on September 1 and utilize the National Payment Card System, facilitating the exchange between rubles and cryptocurrencies.
This development follows legislation signed into law by President Vladimir Putin in early August. The law legalized crypto mining and set the framework for testing cross-border payments through digital tokens under the central bank’s supervision.
Sanctions Drive Russia’s Crypto Adoption
The trials come as Russian businesses face growing payment difficulties amid tighter sanctions, particularly after the U.S. expanded its criteria for penalizing foreign banks working with Russia in June. Russian companies have struggled to complete payments for goods and services, both locally and internationally.
In response, the country has turned to crypto as a potential solution to bypass conventional financial blockades. According to reports, testing cross-border crypto transactions could offer a new avenue for Russian firms seeking alternative payment methods.
Russia’s Regulatory History Shifts
This initiative represents a departure from Russia’s earlier position on digital currencies. Prior to the sanctions, the Bank of Russia had recommended comprehensive restrictions on crypto activities, citing potential financial instability risks.
At that time, the central bank had expressed concerns over speculative trading, arguing that crypto growth could trigger market bubbles and pose threats to the national economy.
Additionally, the central bank suggested banning crypto mining due to the high energy consumption and the environmental impact caused by electricity-driven mining activities. However, Russia’s stance has shifted under the weight of external pressures, pushing the country toward crypto solutions.
Launch of State-Backed Exchanges
According to a mid-August report by The Crypto Basic, Russia plans to launch two government-backed cryptocurrency exchanges, one in Moscow and another in St. Petersburg.
The St. Petersburg exchange would operate using the St. Petersburg Currency Exchange (SPCEX) infrastructure while the specifics of the Moscow exchange were still being decided.
Both exchanges will focus on developing a stablecoin tied to the Chinese Renminbi (RMB) and a basket of BRICS currencies. The stablecoin will maintain a 1:1 ratio with the yuan, ensuring price stability.
Disclaimer: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic’s opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
