According to reports, Russia intends to develop and use a digital currency for settlements with China. The pilot project for this new currency should be finished by the end of the following year. It is now being tested for payments with foreign banks.
The central bank is seeking for alternative means to do international business as a result of the international sanctions imposed on Russia for its activities against Ukraine. The US Treasury Department has imposed sanctions on 22 additional organizations and corporations with Russian headquarters during the past week. These restrictions increase the number of Russian organizations that the US does not want to do business with.
Anatoly Aksakov, the chairman of the lower house’s finance committee in the Russian parliament, offered the following insight:
“The subject of digital financial assets, digital ruble and cryptocurrencies is currently escalating in society as western countries impose sanctions and create problems for bank transfers, including in international settlements.”
The usage of a digital currency, he continued, is a crucial step in the path the nation is trying to pursue since it allows financial flows to get over regulatory frameworks that are hostile to doing business with Russia.
