A high-ranking official from the Russian Finance Ministry has made allusions to a plan by the Federal Government to use digital currencies, or cryptocurrencies to make international payments. Currently, the digital tokens aren’t recognized as property, but if this is reversed, it would enable the Russian government to make deals with foreign partners using the currencies.
The announcement was made by Ivan Chebeskov, director of the Ministry of Finance’s Financial Policy Department as a possible counter to the limitations and sanctions placed on the country’s traditional payment channels. Speaking at a forum organized by the ruling United Russia party, Chebeskov disclosed that the ministry was in active discussion over the use of digital currency in a barter transactions.
According to Chebeskov, it was a topic that deserves full attention as currently, Russia is limited in its ability to make payments and deals in the international market. The move to legalize cross-border payments as well as cryptocurrencies in general was a move to stave off and work around the restrictions. Earlier, it must be remembered, the Russian Prime Minister, Mikhail Mishustin had hinted that the government was considering a switch to settling payments in the national currencies with “friendly countries.”
This is a sign of the heavy toll the sanctions and restrictions the Kremlin has been having; one that started even before the country invaded Ukraine and is a greater indication of just how desperate the situation in the country must be getting.
