Russian Businesses Urge Moscow to Allow Unchecked Use of Crypto and Stablecoins

2024-09-08 19:00:00

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Top Russian business leader calls for gov’t to allow the use of any and all ‘digital currencies’ in foreign trade Last updated:

September 8, 2024 23:00 EDT

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Tim Alper is a British journalist and features writer who has worked at Cryptonews.com since 2018. He has written for media outlets such as the BBC, the Guardian, and Chosun Ilbo. He has also worked…

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September 8, 2024 23:00 EDT

Why Trust Cryptonews With over a decade of crypto coverage, Cryptonews delivers authoritative insights you can rely on. Our veteran team of journalists and analysts combines in-depth market knowledge with hands-on testing of blockchain technologies. We maintain strict editorial standards, ensuring factual accuracy and impartial reporting on both established cryptocurrencies and emerging projects. Our longstanding presence in the industry and commitment to quality journalism make Cryptonews a trusted source in the dynamic world of digital assets. Read more about Cryptonews The leader of one of Russia’s biggest business groups has called on the government to green-light the use of crypto and stablecoins in overseas trade.

Per the state-run news agency TASS, the comments came from Alexander Shokhin, the President of the Russian Union of Industrialists and Entrepreneurs (RSPP).

Shokhin was speaking on the sidelines of the Eastern Economic Forum in Vladivostok on September 7.

Crypto and Stablecoins – Time to ‘Remove Barriers’

Shokhin said that to “solve” ongoing “problems with payments in foreign trade,” Russian businesses “propose removing legislative barriers.”

He said firms should be given “a real opportunity to use any reliable digital currencies” in cross-border trade.

Russian businesses are struggling to do business with overseas partners due to US, EU, and UK-led sanctions regimes.

Alexander Shokhin, the President of the Russian Union of Industrialists and Entrepreneurs. (Source: Moscow Financial Forum/YouTube)Some firms in the nation have begun using tokens like Bitcoin (BTC) in cross-border trade. Earlier this month, a new law came into force, allowing companies to use coins as a payment tool in an “experimental” sandbox operated by the Russian Central Bank.

But many firms appear to think this is too restrictive, and want to be allowed to use whatever payment tools they see fit in cross-border trade.

“It is important that businesses have a real opportunity to use any sort of reliable digital currency […] in foreign economic activity. That includes cryptocurrencies and stablecoins, which use blockchain and cryptography technology.”

Alexander Shokhin, President of the Russian Union of Industrialists and Entrepreneurs.

The business leader claimed that companies also needed access to Russian-made alternatives to SWIFT banking s.

The RSPP chief added that his organization was “actively developing cooperation” with the Russian Ministry of Foreign Affairs.

And he hinted that in a post-sanctions world, nations all over the globe may look to ease restrictions on firms who want to use blockchain-powered assets to do business.

Exclusive: Russia’s Sberbank says India business booming despite Western sanctions pic.twitter.com/FEmrver7B9

— Reuters (@Reuters) September 3, 2024

Global Trade Changes Coming?

Shokhin highlighted recent recommendations from the Business 20 (B20), a group of 900 international business leaders, to the leaders of the G20.

He said the B20 had this year asked political leaders to reconsider the way it allows firms to trade with one another.

The B20 has submitted its requests to the G20 ahead of the latter’s upcoming summit in São Paulo, Brazil, on October 24 and 25.

Russian central bank set to hike key rate by another 100 bps: Reuters poll pic.twitter.com/5ENoL5IHMg

— Reuters (@Reuters) September 2, 2024

Although the B20 made no direct mention of crypto or stablecoins in its public recommendations, it called on leaders to “promote sustainable and resilient trade and investment.” The B20 said leaders should:

“Initiate a review of restrictive unilateral trade policies by G20 countries over the past three years.”

Shokhin concluded that Moscow needs to “eliminate existing barriers in legislation” to promote trade, including crypto-powered business.

He said improvements were “primarily” required” in the “taxation and currency control” sectors.

Crypto: Taking Center Stage

Crypto-related matters have taken center stage at the Eastern Economic Forum this year. Organizers have held several sessions dedicated to crypto and BTC mining.

President Vladimir Putin also mentioned crypto mining during one of his addresses to the forum.

And a Russian government ministry said it wants to allow miners access to surplus electrical power.

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