Iran & Russia consider joint gold-backed stablecoin

The Central Bank of Iran is considering developing a stablecoin with the Russian Federation as a means of payment in international commercial transactions, according to Alexander Brazhnikov, executive director of the Russian Association of Cryptoindustry and Blockchain, who spoke with Vedomosti.

Brazhnikov said that the coin would be backed by gold (i.e. a stable coin). The prospective coin would function in Astrakhan’s special economic zone, where Russia has started to allow Iranian cargo.

The Committee on Information Policy, Information Technology, and Communications member and Duma deputy Anton Tkachev confirmed the existence of the talks. Tkachev pointed out that after cryptocurrencies are fully regulated in Russia, which is anticipated to happen sometime in 2023, the subject won’t be debated at the official level.

The Central Bank of Russia opposes the domestic adoption of cryptocurrencies as a form of payment. But it encourages the usage of cryptocurrencies in import and export deals.

Authorities in the European Union forbade European businesses from offering any cryptocurrency-related services to Russian citizens following the Russia-Ukraine conflict.