- The Bank of Russia and the country’s Ministry of Finance have reached an agreement to allow cross-border payment settlement in cryptocurrencies.
- The central bank refused to accept cryptocurrency as legal tender and was opposed to the operation of local cryptocurrency exchanges.
- A survey report revealed that 72% of Russians have never bought Bitcoin, shedding light on BTC and crypto adoption in the country.
Russia’s Deputy Finance Minister described the acquisition and the use of cryptocurrency in cross-border settlements through a new agreement. The Central bank and the Ministry of Finance have decided upon the acceptance of Bitcoin and cryptocurrencies for cross-border payment settlement.
Also read: ApeCoin price: Can staking and marketplace AIP duo push APE price to $10?
Russian officials approve crypto use for cross-border payment settlement
The Bank of Russia and the Ministry of Finance have reportedly reached an agreement to allow the use of Bitcoin and cryptocurrencies in cross-border payment settlements. Kommersant, a Russia-based outlet, reported on Thursday that Russia’s Deputy Finance Minister Alexei Moiseev said the government department has agreed “on the whole” with the central bank over a rule that would let residents send cross-border payments using cryptocurrencies.
The proposed policy change was aimed at allowing Russian nationals access to digital wallets. Moiseev was quoted in the report:
[The policy] generally describes how to acquire cryptocurrency, what can be done with it, and how it can or cannot be settled with it in the first place in cross-border settlements.
According to Russian news agencies, the Bank of Russia is reportedly opposed to allowing crypto exchanges to operate legally and not accepting cryptocurrency as legal tender. Moiseev said,
Now that people are opening crypto wallets outside the Russian Federation, it is necessary to do this in Russia with entities supervised by the central bank, which are required to comply with Anti-Money Laundering and Know Your Customer requirements.
Interestingly, Russia has had a mixed relationship with crypto. In 2020, crypto payments were banned in Russia. In July 2022, President Vladimir Putin signed the bill into law, placing an effective ban on the use of digital assets as payments.
Russia softened its stance on the use of crypto payments for cross-border settlements in May 2022, when trade minister Denis Manturov suggested Russia would legalize crypto payments “sooner or later.”
It's important to note that according to a July 2022 survey conducted by Switzerland-based cryptocurrency wallet provider Tangem, 72% of Russian investors have never bought crypto like Bitcoin. Therefore the proposed policy change driven by the Bank of Russia and the Ministry of Finance is likely to drive the adoption of BTC in the country.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
Polygon joins forces with WSPN to expand stablecoin adoption
WSPN, a stablecoin infrastructure company based in Singapore, has teamed up with Polygon Labs to make its stablecoin, WUSD, more useful in payment and decentralized finance.
Coinbase envisages listing of more meme coins amid regulatory optimism
Donald Trump's expected return to the White House creates excitement in the cryptocurrency sector, especially at Coinbase, the largest US-based crypto exchange. The platform is optimistic that the new administration will focus on regulatory clarity, which could lead to more token listings, including popular meme coins.
Cardano's ADA leaps to 2.5-year high of 90 cents as whale holdings exceed $12B
As Bitcoin (BTC) gets closer to the $100,000 mark for the first time — it crossed $99,000 earlier Friday — capital is rotating into alternative cryptocurrencies, creating a buzz in the broader crypto market.
Shiba Inu holders withdraw 1.67 trillion SHIB tokens from exchange
Shiba Inu trades slightly higher, around $0.000024, on Thursday after declining more than 5% the previous week. SHIB’s on-chain metrics project a bullish outlook as holders accumulate recent dips, and dormant wallets are on the move, all pointing to a recovery in the cards.
Bitcoin: New high of $100K or correction to $78K?
Bitcoin surged to a new all-time high of $93,265 in the first half of the week, followed by a slight decline in the latter half. Reports highlight that Bitcoin’s current level is still not overvalued and could target levels above $100,000 in the coming weeks.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.