Russia and Iran discuss using gold-backed Stablecoins in mutual settlements

25 January 2023


Stablecoins secured with gold may potentially be used in Russia's export settlements, this issue is discussed with the Iranian side. Head of the State Duma Committee on Financial Market Anatoly Aksakov said this in an interview with Parlamentskaya Gazeta.

 

"We discussed the issue related to the issuance of stablecoins, digital financial assets (DFA), secured by some values. For example, I spoke about gold, about gold bars, refineries can provide them, or centers where gold is stored, and DFA are issued against these stocks of gold. And then they are used as means of payment, for instance, in mutual settlements between Russia and Iran. The proposal has been received with interest, which is just an example that we are moving in the right direction," he said.

 

The deputy noted that exporters currently have difficulties in settlements with Iran. "In Iran in particular, we have been discussing the possibility of using DFA in our mutual settlements. Because the key problem we discussed in Iran is that Iran has a large debt on supplies from Russia. And the fluctuations of the Iranian currency are quite large. And they have two exchange rates, the one approved by the Central Bank and the market rate, and they are very different. Of course, this creates inconveniences for our exporters," Aksakov said.

 

The proposal to use digital financial assets in cross-border settlements is discussed by the Ministry of Finance, Central Bank and Russian government. After a number of countries imposed sanctions against Russia, the Ministry of Finance and the Central Bank agreed that in the current circumstances it will not be possible to work without cross-border settlements in cryptocurrency. The Bank of Russia noted that they adhere to the position that the circulation of digital currency on the territory of the Russian Federation is unacceptable. The regulator pointed out that it is against legalization of cryptocurrency exchanges and payments in cryptocurrency inside Russia.

 

 

GSV "Russia - Islamic World"

Photo: moritz320/Pixabay

Based on materials from TASS