09 Sep
09Sep

At the Eastern Economic Forum in Vladivostok on September 7, Alexander Shokhin, President of the Russian Union of Industrialists and Entrepreneurs (RSPP), made a compelling case for the use of cryptocurrencies and stablecoins in international trade. Shokhin's remarks reflect a growing sentiment among Russian businesses that current legislative barriers are hindering their ability to engage effectively in cross-border transactions.

Call for Legislative Change

Shokhin emphasized the need to "solve" the ongoing challenges with foreign trade payments by advocating for the removal of existing legislative barriers. He suggested that Russian firms should be granted the freedom to utilize any reliable digital currencies for international trade. This call for deregulation comes as Russian businesses face significant difficulties due to sanctions imposed by the US, EU, and UK.

Currently, Russian companies have been experimenting with cryptocurrencies like Bitcoin (BTC) in their overseas dealings, facilitated by a new law allowing such transactions within an "experimental" sandbox managed by the Russian Central Bank. However, many firms believe these measures are too restrictive and seek broader access to various payment tools.

Need for Alternative Payment Systems

Shokhin also highlighted the necessity for Russian-made alternatives to the SWIFT banking system. He noted that his organization is working closely with the Russian Ministry of Foreign Affairs to explore solutions that could facilitate smoother international transactions.

Global Trade Trends

The call for a more flexible approach to digital currencies comes amid broader discussions about global trade. Shokhin referred to recent recommendations from the Business 20 (B20) group, which represents 900 international business leaders and has urged the G20 to reconsider restrictive trade policies. The B20's recommendations, submitted ahead of the G20 summit in São Paulo, Brazil, on October 24 and 25, advocate for a review of unilateral trade policies and promoting more sustainable and resilient trade practices.

Crypto's Growing Role

The Eastern Economic Forum has underscored the increasing importance of cryptocurrencies and blockchain technology. This year, the forum featured several sessions focused on crypto and BTC mining, and President Vladimir Putin addressed the topic of crypto mining in his speeches. Additionally, there are discussions within the Russian government about providing miners with access to surplus electrical power, further signaling the country's commitment to integrating digital assets into its economic framework.

Conclusion

Shokhin's comments reflect a significant shift in the conversation around cryptocurrencies and stablecoins in Russia. By advocating for legislative reform and broader adoption of digital currencies in international trade, Shokhin and the RSPP are pushing for changes that could reshape the future of global business interactions. As the world continues to grapple with the impact of sanctions and trade restrictions, the embrace of crypto-powered solutions may become increasingly relevant in facilitating international commerce.

September 2024, Cryptoniteuae

Comments
* The email will not be published on the website.