Russian Already ‘Conducting Billions of Dollars of Crypto Trade’

Much of the talk appears to be revolving around crypto exchanges. Crypto exchanges remain completely unregulated in Russia.

The bank previously expressed a desire to ban them completely. However, its stance has changed on this matter as Russia has decided to legitimize its industrial crypto mining industry.

Russian firms also say they are struggling to do business with international partners due to Western sanctions.

Many firms have already begun using crypto in cross-border trade. But others are still waiting for Moscow’s approval. Some leaders say they want unchecked access to crypto markets.

The bank is most concerned about what should happen to the coins that trade firms and miners accumulate.

It wants Russian firms to liquidate the coins for fiat. But a burning question remains: Which platform should they use?

In recent months, senior government figures have suggested using the Saint Petersburg Currency Exchange and the Moscow Exchange’s platforms.

However, both have recently denied they have any plans to start crypto trading.

Aksakov suggested that banks could play a key role, and mentioned that some banking players “are already actively engaged” in crypto-related activities.

“It is important to protect the market as much as possible from unscrupulous participants. Because cryptocurrency is used to pay not only for the supply of necessary goods, but also to buy weapons and drugs.”

Anatoly Aksakov, Chairman of the Russian State Duma’s Committee on the Financial Markets

Pilot Must Come Before Wider Crypto Access, MP Insists

Aksakov said that the sandbox will remain an “experimental” zone under the Central Bank’s watchful eye.

Following extensive pilots, Russian regulators will then “understand how to regulate it better.”

After this, the government will steadily increase “the number of participants and trading platforms” allowed to handle crypto, he said.

The media outlet said that the ministry and the Central Bank have plans to “hold a discussion with market participants in the near future.”

They are keenest of all to explore the use of stablecoins “in international settlements.”

The bank appears especially keen, and thinks that fiat-pegged coins “may have advantages over traditional payment services in cross-border settlements.”

Aksakov has previously conceded that an unspecified number of Russian firms are already using crypto in place of fiat in cross-border trade.

Moscow appears to be turning a blind eye to these companies’ activities (or allowing them to continue) until its sandbox is fully operational.