Russian Foreign Minister says crypto could play important role in regulations – Bitcoin News


Russian Foreign Minister Sergey Lavrov spoke about the future importance of cryptocurrencies as a layer of international settlements at the Primakov Readings Forum. Lavrov called these assets an “important role” in the future. Russia has made efforts to de-dollarize some of its activities, and this statement could offer a glimpse of future plans.

Russian Foreign Minister Says Crypto Could Play Important Role in Regulations

Russian Foreign Minister Sergey Lavrov referred the future importance of cryptocurrencies as part of the international settlement layer. Lavrov made this reference during his participation in the Primakov Readings Forum last week, an important diplomatic meeting. The Russian Foreign Minister was optimistic about the use of cryptocurrencies to settle debts between countries. Lavrov said:

I think the time will inevitably come when cryptocurrencies will play a very important role, occupy a very important segment in international settlements.

Russia is changing the way it approaches international payments and settlements. In this regard, Lavrov stressed that they plan to use national currencies when engaging in bilateral trade. The Russian Foreign Minister noted:

We try to rely more and more on other currencies. On national currencies when it comes to bilateral trade with our partners – with China, other SCO members, a number of other countries… ”

Russia has been pushing to de-dollarize part of its investment infrastructure to protect itself from a possible increase in sanctions. Earlier this month, Finance Minister Anton Siluanov announced that the National Wealth Fund would abandon the dollar in favor of other currencies. The fund, currently worth more than $ 600 billion, is believed to support investments based on the yuan and the euro instead.

These actions are seen by many as a strong political statement showing that Russia can survive without needing the dollar to trade. According to some experts, the Russians are also profiling cryptocurrencies as an important part of this strategy.

The digital ruble

The issuance of a digital ruble could also play a central role in this de-dollarization push in the future. Lavrov said the development of a central bank digital currency is already underway in Russia. In fact, the Bank of Russia has revealed that it will build a prototype by the end of the year. The currency will be designed to function similarly to the digital yuan, with the government controlling the protocol. However, commercial banks will also have the option of offering intermediation services.

Cryptocurrencies are also getting hotter in the remittance industry. El Salvador declared Bitcoin as legal tender last week, which could make it easier for millions of its citizens to enter the crypto world. Bitcoin’s remittances to the country have skyrocketed after the landmark legislation was passed, but they are still only a fraction of their dollar counterparts.

What do you think about the role that cryptocurrencies will play in international settlements? Tell us in the comments section below.

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