Foreigners May Be Given Anonymous Entry Points To Digital Ruble

A Russian official disclosed that the upcoming digital ruble of Russia would be made available to foreign nationals via entry points that provide them anonymity.

The purpose of this idea is to provide protection to these investors against the Western sanctions that have been imposed on Moscow.

Anonymous digital ruble purchases

On Tuesday, Vladimir Gutenev, the chair of the State Duma Committee on Industry, said that foreign investors should be given the option of purchasing the digital ruble anonymously.

He said that the purpose of giving them the ability to buy the Russian central bank digital currency (CBDC) anonymously would ensure that they do not fall under the Western sanctions.

The Russian digital ruble is still under development and is being tested by the Central Bank of Russia (CBR) and a number of other commercial banks.

The Russian lawmaker also added that real assets should be used for banking the central bank’s digital currency (CBDC).

Gutenev said that backing the digital ruble with real assets is necessary and foreign investors should be given an anonymous entry point for making their Russian digital currency purchases in order to avoid sanctions.

Crypto mining

The State Duma deputy also talked about the legalization of crypto mining activities in the Russian Federation.

He showed his support for this move, stating that the energy-rich regions of the country should be used for anchoring the industry, as these can provide electrical energy at low costs.

However, he also said that he was not in favor of the concept of charging preferential rates from cryptocurrency miners.

The high-ranking member of the State Duma, which is the lower house of the Russian parliament, said that Russia can enjoy new opportunities in the technological, economic, and financial sectors.

This can happen if they engage in civilized mining and make use of digital currencies in a thoughtful manner.

Crypto regulation

Russia is gearing up to regulate its crypto space comprehensively this year. During the fall session of the State Duma, a bill called ‘On Digital Currency’ is expected to be reviewed.

One of the most interesting areas of interest is the use of digital currency for international settlements in order to circumvent the sanctions imposed by the West on Russia due to its invasion of Ukraine.

The Bank of Russia and the Ministry of Finance had agreed earlier in September that they would use crypto for making cross-border payments.

But, the monetary authority was quick to clarify that this would only mean legalizing the use of crypto for international payments and not for payments within the country.

Apart from that, another option that has been considered for making cross-border payments is stablecoins.

Even though no assets are used for backing the digital ruble, a report in June proposed that a stablecoin be issued that should be backed by the gold reserves of the country.

Thus, it should be named the ‘golden-ruble’ and used for making settlements in foreign trade, and should be convertible to other currencies.

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