The Russian Union of Industrialists and Entrepreneurs (RSPP) is considering creating a Bitcoin fund for Russia. The first step toward world trade is definitely using digital money. This concept gets outside Western limitations using bitcoins. Looking for fresh approaches to conducting business overseas, Russia’s richest enterprises under sanctions—the RSPP—are weighing this possibility.
Under RSPP’s markets and finances, Andrey Lisitsyn told Russia’s Vedomosti newspaper that Bitcoins produced in Russia would help the proposed fund. This fund would also create digital financial assets (DFAs) and restricted digital tokens to send Funds across countries via IOUs instead of direct Bitcoin transactions.
Many banks are trying to convince Russian consumers to adopt DFAs, but they still haven’t caught on. A strong supporter of DFAs, Elvira Nabiullina is Chair of the Bank of Russia. However, she acknowledged the market’s liquidity problems in a press conference held early in June. Although the market has expanded to 96 billion rubles ($1.1 billion) during the previous two years, it was underlined that it is still “too much fragmented.”
Russia’s Sanctioned Business Union Mulls Establishing National Bitcoin Fund
Lisitsyn added that trading internationally could be more straightforward if people could claim the base cryptocurrency as IOUs. This would stop the usage of cryptocurrencies and their demand on the stock market. You need it this way since you cannot use cryptocurrencies as money in Russia. According to him, the fund might be established in another administrative location so that Bitcoin miners may register for an account and deposit their produced Bitcoins into it.
Lisitsyn also discussed the issues this strategy could raise, including the necessity of creating several accounts on various worldwide Bitcoin sites to facilitate international trading. He agreed on a “significant question” concerning the likelihood of banishment of these accounts. He claimed that creating a “payment agents” organization could help lower this risk, but he did not clarify how this group would be run.
In August 2023, OFAC, which is part of the U.S. Department of the Treasury, fined the RSPP and said, “Russian elites should get rid of the idea that they can keep doing business as usual while the Kremlin wages war against the Ukrainian people.” Even though they have been fined for breaking international rules, Russian businesses are still looking for new ways to keep doing business across countries. The RSPB found this true while looking into a national Bitcoin fund.
