Russia Eyes Creation of Its Own Stablecoins
A senior official from Russia’s Finance Ministry has called for the development of domestically controlled stablecoins, following the recent blocking of Russian-linked wallets holding USDT by Tether.
Osman Kabaloev, deputy head of the ministry’s financial policy department, stated that Russia must begin exploring the creation of stablecoins pegged to foreign currencies to avoid future disruptions. The proposal comes in response to Tether freezing wallets belonging to the sanctioned Russian crypto exchange Garantex, which held over 2.5 billion rubles (roughly $30 million USD) in USDT.
“The recent blockage makes us think that we need to consider creating internal tools similar to USDT, possibly pegged to other currencies,” Kabaloev said during a public statement on Wednesday.
Tether’s Move Spurs Strategic Shift
The freeze, revealed in early March, occurred just days after the EU imposed sanctions on Garantex. As a result, the exchange was forced to suspend operations. The incident marked a critical moment in Russia’s use of stablecoins for cross-border payments, especially as Western sanctions continue to isolate its financial systems.
USDT had gained traction in Russia as a favored payment tool, particularly among firms seeking alternatives to the SWIFT system for international transactions.
Central Bank Supports Controlled Crypto Trials
Despite her long-standing opposition to crypto usage for domestic payments, Russia’s central bank chief Elvira Nabiullina confirmed that some companies are actively testing cryptocurrency payments for international trade as part of an experimental program.
While the Bank of Russia maintains a cautious stance, the country has allowed pilot programs for international crypto settlements, viewing them as a necessary workaround to sanctions-imposed hurdles.
Kosta Gushterov
Reporter at Coindoo
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