Russia’s bank governor confirms no plans to invest in cryptocurrencies

Governor of the Central Bank of Russia Elvira Nabiullina reaffirmed the institution’s stance against the use of cryptocurrencies in domestic payments.

“We continue to believe that cryptocurrencies should not be used as a means of domestic payment,” Nabiullina said at a recent press conference, according to Reuters.

This stance is in line with Russia’s existing legislation, which prohibits the use of digital assets in transactions within the country. But Nabiullina emphasized the central bank’s support for the use of cryptocurrencies in international trade as a way to ease the impact of Western sanctions.

“We accept, support and support projects on the use of cryptocurrency for foreign payments, but no for domestic payments,” he explained.

Russia’s latest crypto developments

In line with this approach, Russia is developing mechanisms that will facilitate cross-border cryptocurrency transactions. The central bank plans to make its first experimental international payment using cryptocurrency by the end of this year.

While the central bank remains committed to banning domestic cryptocurrency payments, approving digital assets for international trade and military purposes reflects a more nuanced approach to integrating cryptocurrencies into Russia’s financial system.

In 2023, Nabiullina approved the use of cryptocurrency in foreign settlements as an experiment. In March 2024, Russian President Vladimir Putin signed a law allowing the use of digital financial assets.