Skip to content

Russia and Iran explore launch of joint cryptocurrency backed by gold

Russia and Iran explore launch of joint cryptocurrency backed by gold

In light of the advancements in digital assets and the pressures exerted on states, Russia and Iran are now exploring the development of a joint stablecoin that would be backed by gold.

The executive director of the Russian Association of the crypto industry and blockchain, Alexander Brazhnikov, revealed that the Central Bank of Iran is considering the creation of a stablecoin with the Russian Federation as a means of payment in transactions involving international trade, according to the local Russian news outlet Vedomosti.

Brazhnikov said that the coin’s value would be tied to gold (i.e., a stablecoin). Astrakhan is a free-trade zone where Russia has started accepting Iranian merchandise; therefore, the coin would be usable there. 

Stablecoin is to be discussed at the state level

Anton Tkachev, a member of the Duma and the Committee on Information Policy, Information Technology, and Communications, acknowledged the discussions’ existence. After cryptos are completely regulated in Russia, which should happen in 2023, Tkachev said the issue would be considered at the governmental level.

The Russian Central Bank does not support the usage of cryptocurrencies like Bitcoin (BTC) or Ethereum (ETH)  as a method of payment anywhere inside the nation. On the other hand, it allows for the usage of cryptocurrencies in business dealings, including international trade. 

Notably, following Russia’s full-scale invasion of Ukraine, the authorities of the European Union enacted a ban prohibiting European firms from offering any services linked to cryptocurrencies to residents of Russia.

Interestingly, in August 2022, Iran made the first-ever import of goods using cryptocurrency worth millions.

Best Crypto Exchange for Intermediate Traders and Investors

  • Invest in cryptocurrencies and 3,000+ other assets including stocks and precious metals.

  • 0% commission on stocks - buy in bulk or just a fraction from as little as $10. Other fees apply. For more information, visit etoro.com/trading/fees.

  • Copy top-performing traders in real time, automatically.

  • eToro USA is registered with FINRA for securities trading.

30+ million Users
Securities trading offered by eToro USA Securities, Inc. (“the BD”), member of FINRA and SIPC. Cryptocurrency offered by eToro USA LLC (“the MSB”) (NMLS: 1769299) and is not FDIC or SIPC insured. Investing involves risk, and content is provided for educational purposes only, does not imply a recommendation, and is not a guarantee of future performance. Finbold.com is not an affiliate and may be compensated if you access certain products or services offered by the MSB and/or the BD

Read Next:

Finance Digest

By subscribing you agree with Finbold T&C’s & Privacy Policy

Related posts

Sign Up

or

By submitting my information, I agree to the Privacy Policy and Terms of Service.

Already have an account? Sign In

Services

IMPORTANT NOTICE

Finbold is a news and information website. This Site may contain sponsored content, advertisements, and third-party materials, for which Finbold expressly disclaims any liability.

RISK WARNING: Cryptocurrencies are high-risk investments and you should not expect to be protected if something goes wrong. Don’t invest unless you’re prepared to lose all the money you invest. (Click here to learn more about cryptocurrency risks.)

By accessing this Site, you acknowledge that you understand these risks and that Finbold bears no responsibility for any losses, damages, or consequences resulting from your use of the Site or reliance on its content. Click here to learn more.