MOSCOW—In response to the payments barriers it faces as a result of international sanctions in response to its war on Ukraine, Russia is close to starting trials of cryptocurrency exchanges and the use of digital tokens for cross-border transactions, according to a new report.
The trials will start Sept. 1, according to two people with knowledge of the matter who asked not to be named, Bloomberg reported.
Russia will use the National Payment Card System for swapping between rubles and cryptocurrencies when testing payments and the exchange platform, they individuals said, according to Bloomberg.
Russia’s parliament in July passed bills legalizing crypto mining and a framework to allow the testing of digital tokens for cross-border payments under supervision by the central bank. President Vladimir Putin signed the bills into law on Aug. 8.
“The experiment with crypto comes as Russian businesses face growing obstacles in paying overseas suppliers and getting paid for exported commodities,” Bloomberg stated. “Those challenges stem from a U.S. move in June that widened the parameters for determining whether to impose sanctions on foreign banks working with Russia.”