Russian Finance Ministry Considers Eurasian Economic Union Digital Currency ‘Inevitable’ Due to United States’ Sanctions

Russia’s Ministry of Finance (MinFin) believes that the creation of an EAEU (Eurasian Economic Union)-backed cryptocurrency is doomed due to the US’ assents. Rambler the Major Russian social media agency reported the Ministry of Finance’s commentaries on Friday, December. 21 2018.

As revealed by Alexei Moiseev (deputy finance minister) the Ministry of Finance sees an opportunity to launch a cryptocurrency backed by Eurasian Economic Union by the year 2020 or 2021. The EAEU established in 2014 includes five memeber countries which are Belarus, Russia, Kazakhstan, Kyrgyzstan, and Armenia.

As reported by TASS – significant Russia’s news agency, the project to launch the digital currency will be implemented without using Blockchain technology as stated by Moiseev.

According to Alexei, the Eurasian Economic Union digital currency will be improved similarly with the ECU (European Currency Unit). The European community used the ECU before being replaced by the EUR (euro) in January 1999.

The ECU was launched in 1979 representing a combination of the all the European community states currencies with its rate relying on a weighted percentage of the participating currencies.

As reported to us, the idea of launching an EAEU cryptocurrency is not only supported by the participants of the economic union but also some other unnamed countries that are larger trading partners of the EAEU countries.

Ministry of Finance’s deputy finance minister – Alexei Moiseev has noted that turning to the production of Eurasian currency is “unavoidable” due to a growing number of authorized companies. Moiseev added:

“We hear promises of new upcoming sanctions. Accordingly, we have to react by building secure international payment system that is not based on the U.S. dollar.”

According to our notes, the chairman of Russia’s State Duma Committee on Financial Markets reported that stablecoin a planned state-backed digital currency would be equivalent to the Russian fiat ruble.

Recently according to our report, Maxim Akimov Russia’s deputy prime minister stated that the current draft on the cryptocurrency regulation wouldn’t be changed .

Keywords such as “mining,” and “cryptocurrencies” are removed from the text as On Digital Financial Assets have raised some questions about its effectiveness in the space by some local legal bodies.