Russia: The Ministry of Finance wants to legalize stablecoins

Despite its continued skepticism toward cryptocurrencies, Russia has huge intentions for stablecoins. The Russian finance minister intends to legitimize transactions involving this kind of digital asset, a government official said.

Russia makes a stablecoin bet.

During a discussion on Web 3.0’s impact as part of Russian Creative Week, Ivan Chebeskov, head of the financial policy division of the Russian Federation’s Ministry of Finance, disclosed this information.

The top official claimed that his organization supported stablecoins’ unfettered circulation in Russia. He added that the government is prepared to assist in the formation of businesses using this invention in the nation.

• “If companies or investors need to set up shop, invest in a new way, if they need such a tool, because it lowers costs, works better than previous tools, and if the risks associated with it can be limited, then we will always support such initiatives , ” he said .

Existing financial system is coming to an end?

Chebeskov also discussed the possibility of the formation of a completely new financial system during this discussion. This is based on blockchain technology in general, but more especially on digital assets, tokenization, and cryptoassets.

The official from the administration is confident that digital currencies can pave the way for a future financial landscape regeneration, although it is uncertain if they will be as effective as fiat currencies.

However, he continued, “one cannot be certain that it would be able to perform better than the current financial systems.

Because they were so focused on cryptoassets, the Russian government had done little to nothing up to that point regarding the issue of stablecoins. However, it is now slowly making its way into the offices of decision-makers.

A Russian research company suggested launching a gold-backed state stablecoin for foreign transfers last month. The goal is to get around the sanctions that the nation is now under. In parallel, the Russian Central Bank of Russia (CBR) is waging a cryptocurrency witch hunt.