RT.com
22 Jun 2022, 17:43 GMT+10
A cryptocurrency backed by gold would be immune to sanctions, according to VEB.RF analysts
Russia needs a new mechanism for international settlements to be able to operate under Western sanctions, a report by the country's development corporation VEB.RF says.
According to the report, the introduction of financial sanctions against Russia, which, despite state measures, results in economic losses for the country, also indicates that a transition to a completely different national financial and monetary system is in order.
VEB.RF analysts suggest that Russia should create a gold-backed stablecoin under the working title 'golden ruble'. According to their research, Western countries will have no opportunity to block operations carried out in such a currency, since its exchange rate will be pegged to the gold rate on the world market, not to the dollar, the euro or, for that matter, the fiat ruble itself. Gold backing would ensure the currency's immunity to sanctions, and the 'golden ruble' could be used freely in external transactions, including those between third countries without the participation of Russia.
Analysts have also proposed launching a mechanism for working with cryptocurrencies for sanctioned companies on crypto exchanges in friendly states, or the creation of a national crypto exchange to facilitate 'golden ruble' trading.
VEB.RF suggests that the Bank of Russia should develop a system of international settlements with friendly countries in their national digital currencies based on distributed ledger technologies, and introduce a hedging system for eliminating currency risks.
Besides diving into the digital currency world, analysts say Russia's new financial system could incorporate large-scale use of barter schemes and new offshore zones, especially with China. Further on, they suggest creating a blockchain unit within the BRICS framework, which would mirror the IMF special drawing rights system, albeit in digital form.
The VEB.RF report also draws attention to Russia's MIR payment system (a Visa and Mastercard analogue) and SWIFT-like SPFS interbank messaging mechanism, and suggests that they should be expanded outside of Russia, at least within the CIS bloc and China.
For more stories on economy & finance visit RT's business section
(RT.com)
Get a daily dose of Cardiff Star news through our daily email, its complimentary and keeps you fully up to date with world and business news as well.
Publish news of your business, community or sports group, personnel appointments, major event and more by submitting a news release to Cardiff Star.
More InformationLONDON, U.K.: At least 13 people are believed to have taken their own lives as a result of the U.K.'s Post Office scandal, in which...
NEW YORK CITY, New York: Former British prime minister Rishi Sunak will return to Goldman Sachs in an advisory role, the Wall Street...
Martial law is expected to be prolonged for another three months in Ukraine, once again extending the term of the countrys leader ...
Dubai [UAE], July 14 (ANI): West Indies skipper Hayley Matthews on Monday surpassed South Africa's Tazmin Brits and her teammate Afy...
by Xinhua writer Zhang Yunlong BEIJING, July 14 (Xinhua) -- As temperatures climb across China, its film market is also heating up,...
London [UK], July 14 (ANI): India's right-arm seamer Mohammed Siraj has been penalised 15 per cent of his match fee after a breach...
LONDON, U.K.: American consumers and businesses could soon face the highest overall tariff burden in more than a century, according...
The family of Sayfollah Saif Musallet, a 20-year-old American citizen who was beaten to death by Israeli settlers in the occupied West...
CONCORD, New Hampshire: A federal judge in New Hampshire issued a crucial ruling on July 10 against President Donald Trump's executive...
DUBAI, U.A.E.: A cargo ship flagged under Liberia, known as the Eternity C, sank in the Red Sea following an attack executed by Yemen's...
WASHINGTON, D.C.: The Trump administration has started sending some weapons to Ukraine again, just a week after the Pentagon told officials...
ECAULT BEACH, France: On clear days, the white cliffs of the United Kingdom, are visible from northern France, where men, women, and...