Regulation

Russian Lawmakers Approve Use of Cryptocurrencies in International Trade

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Russian lawmakers have passed a law allowing companies to use cryptocurrencies in international trade. The legislative change is part of Russia’s broader strategy to overcome economic constraints imposed after the invasion of Ukraine.

According to Reuters, The new law is expected to come into force in September. Elvira Nabiullina, the governor of Russia’s central bank and a prominent proponent of the legislation, has indicated that the first cryptocurrency transactions should take place by the end of this year.

Russia’s international trade has encountered significant delays, especially with major partners such as China, India and the United Arab Emirates. These delays are attributed to the growing caution of banks in these countries, influenced by Western regulatory pressures.

Related: MPs agree UK must approve cryptocurrency regulation by 2025

Anatoly Aksakov, head of the lower house of parliament, the Duma, stressed the importance of this development. “We are making a historic decision in the financial sphere,” he said, addressing his fellow lawmakers.

The new legislation requires the central bank to create an “experimental” cryptocurrency payment infrastructure. While the details of this infrastructure remain undisclosed, it represents a key step toward integrating digital currencies into the Russian financial ecosystem.

According to Reuters, the move is seen as a crucial attempt by Russia to maintain its economic activities amid the tightening of international sanctions. The implementation of cryptocurrency payments is expected to provide a more resilient framework for Russia’s international trade relations.

Source: News

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