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Russia Develops Crypto Infrastructure to Evade Western Sanctions, Reports Chainalysis
Summary: Russia is actively developing cryptocurrency-based financial infrastructure to circumvent Western sanctions, according to a report by blockchain analytics firm Chainalysis. The Central Bank of Russia (CBR) is at the forefront of these efforts, which include recent legislation that legalizes cryptocurrency mining and allows for the use of digital currencies in international trade. This move, signed ...
Russia is actively developing cryptocurrency-based financial infrastructure to circumvent Western sanctions, according to a report by blockchain analytics firm Chainalysis. The Central Bank of Russia (CBR) is at the forefront of these efforts, which include recent legislation that legalizes cryptocurrency mining and allows for the use of digital currencies in international trade. This move, signed into law by President Vladimir Putin in August 2024, is part of Russia's broader strategy to reduce reliance on the U.S. dollar amid ongoing geopolitical tensions.
The CBR will oversee trials of cross-border cryptocurrency transactions, with approved Russian entities now able to settle trades using digital currencies. Additionally, Russia's Central Bank Digital Currency (CBDC), the digital ruble, is set to launch in 2025.
Chainalysis also noted that non-KYC exchanges such as Garantex and Exved, based in Russia, could be used to facilitate these cross-border payments, further complicating international sanctions enforcement. Despite the complexity introduced by blockchain-based systems, the transparency inherent in the technology provides investigators with new insights into Russia's efforts to evade sanctions.
Tags: CBR,Chainalysis,President Putin,Russian
Link: Russia Develops Crypto Infrastructure to Evade Western Sanctions, Reports Chainalysis [Copy]
