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Russia mulls allowing cryptocurrency for international payments

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© Reuters. FILE PHOTO – Representations for the Ripple and Bitcoin virtual currencies can be seen on a computer motherboard in this illustration photo, February 14, 2018. REUTERS/Dado Ruvic/Illustration

(Reuters) – Russia may allow cryptocurrency for international payments. Interfax reported that a Russian government official said Friday.

According to Ivan Chebeskov (head of the financial policy division of the Finance Ministry), “The idea that digital currencies could be used in international transactions is currently being actively considered.”

Russian officials struggle to determine how best to regulate Russia’s cryptocurrency market and digital currency use. The finance ministry is opposed to calls by the central bank for a blanket ban.

Discussions are ongoing for many months. Although the government wants cryptocurrencies to become a payment method sooner or later (or both), there is no agreement.

Vedomosti reported Friday that the finance ministry was considering adding the current proposal for international payments to an update of a draft law. This report was based on government officials.

The use of crypto to settle international trade could counter Western sanctions. Russia is now restricted from accessing traditional cross-border payment methods, Chebeskov explained.

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