Russian Businesses to Choose Which Crypto to Use for Cross-Border Settlements, Lawmaker Says

Russian Businesses to Choose Which Crypto to Use for Cross-Border Settlements, Lawmaker Says

Russian companies may start transacting in cryptocurrency with partners abroad as early as next year and will be free to pick the coin they want to use, officials in Moscow have indicated. The sanctioned country is preparing to legalize foreign trade settlements with digital assets and this could happen in the coming months. Russian Government Poised to Greenlight International Transactions in Cryptocurrency

Russia may authorize cross-border crypto settlements with the law “On Digital Currency” which was presented by the Ministry of Finance in February of this year and has been supported by the government. Russian lawmakers are expected to review it during the fall session of the State Duma, the lower house of parliament.

Ivan Chebeskov, director of the ministry’s Financial Stability Department, has been quoted as saying that the draft features a provision on international transactions with digital assets. It recognizes cryptocurrency as property that can be used in barter deals. At the same time, the official did not rule out the adoption of a dedicated law specifically regulating cross-border crypto payments.

“We have a number of legislative initiatives that we are working on, which have not yet been formally submitted to the government. Therefore, there may be different options for how this can be implemented,” Chebeskov told the daily Izvestia, remarking that the initiative could come from deputies. He added that it’s quite realistic to expect to see international crypto transactions in 2023.

One of the lawmakers involved in these efforts, the head of the parliamentary Financial Market Committee Anatoly Aksakov, admitted in a conversation with the newspaper that he was ready to sponsor legislative acts regulating the matter. He further elaborated that Russian businesses will be able to choose which cryptocurrency they want to trade in — bitcoin, ethereum or any other.

He insisted, however, that Russia must create its own crypto infrastructure, emphasizing that participants should enter the crypto market only through it, and under strict regulatory control. Aksakov admitted that the country does not currently have this infrastructure but said that the stock exchanges in Moscow and Saint Petersburg are ready to provide it. He was also positive that international transactions with crypto can begin next year.

Meanwhile, the Russian Ministry of Economy revealed that it’s working together with the Ministry of Finance and the Central Bank of Russia on the issue of using digital currency in foreign trade. Its representatives assured that the department supports this approach as it has the potential to reduce pressure from sanctions, especially for small and medium-sized enterprises that are facing difficulties in making international payments.

Russia has been trying to find a way to circumvent expanding financial restrictions imposed by Western governments over its military invasion of neighboring Ukraine. The finance ministry and the central bank recently agreed that the country cannot do without cross-border settlements in cryptocurrency. The monetary authority, a strong opponent of allowing the free circulation of bitcoin and the like, emphasized that there is no talk of legalizing crypto as a means of payment inside the country. Tags in this story bill, Bitcoin, Businesses, companies, Crypto, crypto payments, Cryptocurrencies, Cryptocurrency, Digital Assets, Digital Currency, draft law, Ethereum, international payments, international settlements, Law, legalization, Legislation, parliament, Payments, property, Regulation, Russia, russian, Sanctions

Do you think Russia will legalize international crypto payments by the end of the year? Tell us 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. Bitgo Files Lawsuit Against Novogratz’s Galaxy Digital for $100M Over "Intentional Breach" of a Merger Agreement NEWS | 2 hours ago OFAC Sanctions 7 New Bitcoin Addresses Allegedly Associated With Iran-Related Ransomware Activities NEWS | 6 hours ago

Image Credits: Shutterstock, Pixabay, Wiki Commons Previous articleBitcoin, Ethereum Technical Analysis: BTC Drops by Over $2,000 in the Last 24 Hours Next articleBiggest Movers: ETC Trading Below $40.00 Ahead of Thursday’s Merge Event 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 NewsIn Case You Missed ItFidelity Investments Launches Crypto, Metaverse ETFs — Says "We Continue to See Demand"

Fidelity Investments, one of the largest financial services firms with more than $11 trillion under administration, is launching exchange-traded funds (ETFs) focusing on the crypto ecosystem and the metaverse. "We continue to see demand, particularly from young investors, for access ... read more.Bill ‘On Digital Currency’ Caps Crypto Investments for Russians, Opens Door for Payments Australia to List Bitcoin ETF After 4 Clearinghouse Participants Commit to Meet Stringent Margin Terms Fed"s Bullard Wants to Raise Bank Rate to 3.5% by Year"s End, Hints at 75 Basis Point Rate Hike Survey: Adoption in Argentina Grows, With 12 out of 100 Adults Having Invested in Crypto