Russia will test using cryptocurrency in cross-border transactions

Russia will test using cryptocurrency in cross-border transactions

Elvira Nabiullina, the president of the Central Bank of Russia, disclosed that the institution is drafting legislation that would allow exposure to cryptocurrencies in cross-border transactions for testing purposes.

The local news media covered this news when Elvira Nabiullina was attending a meeting with the New People faction in the State Duma.

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There are plans to create specialized authorized entities that will handle both mining and transactions with foreign economic entities, according to the Central Bank chairman’s statement.

By the way, this applies not only to cryptocurrencies that function in global systems but also to typical digital financial assets that, in accordance with our law, can rotate, Elvira Nabiullina said. The use of digital financial assets for international settlements is supposed to be worked out.

“We adhere to the same position that cryptocurrency…> should not be used within the country, and for external settlements, we assume that this is possible in the form of an experiment, and this bill is also being prepared in the form of an experimental legal regime,” she continued.

Furthermore, the Russian government is also working on legislation to form an agency to watch over crypto businesses in Russia, according to the domestic newspaper  Vedomosti

It cited Sergei Altukhov’s statement, a member of the economic policies committee of the Russian parliament, who also announced that a new tax code would be introduced to regulate cryptocurrency miners.

Trading in cryptocurrencies and other transactions involving digital assets will nevertheless remain illegal in the nation.

These steps could protect the Russian economy from harsh sanctions the US and other European countries may impose as a result of their invasion of Ukraine.

Compiled by Coinbold