Russia seems determined to make use of a varied arsenal to counter the international economic sanctions to which it is subject. We learn that a major Russian bank, Rosbank, is turning to cryptocurrencies in order to carry out international transactions.
Russian bank uses cryptocurrencies to dodge international sanctions
We have been reporting it for several months, cryptocurrencies have become an issue of the war in Ukraine, for both countries. While Ukraine has used the blockchain to collect donations and fund itself, Russia sees it as an advantage to dodge the international sanctions weighing on its economy since it attacked its neighboring country.
As for the private banks, the solution has apparently begun to be considered. According to a report by local media Vedomosti, major bank Rosbank has indeed started offering cross-border cryptocurrency payments to its customers. These transactions are in accordance with Russian law, and several pilot projects have been carried out with companies and individuals.
It is Russian fintech company B-crypto which provides this service to Rosbank. The bank acts as an intermediary for the purchase of cryptocurrencies: it receives invoices from foreign service providers, then asks B-crypto for the corresponding amount in cryptocurrencies. The assets are then transferred to the foreign provider.
π To go further β Which countries are most interested in Bitcoin (BTC)?
Buy crypto on eToro
A status of cryptocurrencies still wobbly in Russia
As a reminder, Russian individuals are not allowed to receive cryptocurrencies in exchange for goods and services, and the Central Bank has historically been hostile to the sector. But since the start of the war, it has revised its copy: payments in cryptocurrencies with international partners have been authorized since last April.
In parallel, Russia is betting big on its digital ruble : the central bank digital currency (MNBC) aims to strengthen an economy weakened by international sanctions. Moreover, Moscow is campaigning more and more clearly to strengthen its alliances and detach itself from the dollar.
Russia is therefore playing a balancing act : historically, it has not wished to promote the development of cryptocurrencies on its territory, in order to maintain control over financial transfers. But while the war in Ukraine has turned out to be longer than expected, it seems to want to find other ways out.
π Listen to this article and all other crypto news on Spotify
Our service dedicated to cryptocurrency investors. Get real-time analytics and optimize your crypto portfolio.
Source: Vedomosti
Newsletter π
Receive a summary of crypto news every Monday by email π
What you need to know about affiliate links. This page presents assets, products or services relating to investments. Some links in this article are affiliated. This means that if you buy a product or register on a site from this article, our partner pays us a commission. This allows us to continue to offer you original and useful content. There is no impact on you and you can even get a bonus by using our links.
Investments in cryptocurrencies are risky. Cryptoast is not responsible for the quality of the products or services presented on this page and could not be held responsible, directly or indirectly, for any damage or loss caused following the use of a good or service highlighted in this article. Investments related to crypto-assets are risky by nature, readers should do their own research before taking any action and only invest within the limits of their financial capabilities. This article does not constitute investment advice.
AMF recommendations. There is no guaranteed high return, a product with high return potential involves high risk. This risk-taking must be in line with your project, your investment horizon and your ability to lose part of this savings. Do not invest if you are not ready to lose all or part of your capital.
To go further, read our Financial Situation, Media Transparency and Legal Notices pages.
Journalist at Cryptoast, I fell into the pot of cryptocurrencies a few years ago. I am passionate about the innovative technologies that stem from the blockchain and I like to find the most crispy information to share with you.
Marine Debelloir
2417 items
;Resize=(1200,627)&impolicy=perceptual&quality=mediumHigh&hash=cb8f92bbe2050491bdba82f3141e4ecfa98301a58d10e35dd44b5a69b35b7e1d "Warning level red – Deep red DWD card is worrying millions of people in Germany")