Putin Calls For An International Payment System Based On Blockchain Technology

The Russian President slammed Western sanctions and advocated for a regime "free of foreign meddling."

On November 24, Russian President Vladimir Putin spoke at the International AI Journey Conference in Moscow, criticizing the monopoly in global financial payment systems and calling for an independent, blockchain-based settlement network.

During an event hosted by Sberbank, Russia's largest bank and a major lender to the government, he stated: “The technology of digital currencies and blockchains can be used to create a new system of international settlements that will be much more convenient, absolutely safe for its users, and, most importantly, will not depend on banks or interference by third countries. I am confident that something like this will certainly be created and will develop because nobody likes the dictate of monopolists, which is harming all parties, including the monopolists themselves.”

Putin also stated that global payments and nations are in danger as a result of strained ties between Russia and the West following Ukraine's invasion, calling country sanctions "illegitimate limitations."

"The present international payment system is costly, and its correspondent account system and regulations are controlled by a small group of governments and financial companies," said Russian President Vladimir Putin.

The day before, local media reported that lawmakers were in talks about amending existing cryptocurrency legislation to create a legal framework for a national exchange.

Another recent event was the introduction on Nov. 17 of a bill into Russia's State Duma, the lower house of parliament, authorizing cryptocurrency mining and the selling of the cryptocurrency created.

According to Cointelegraph, Anatoly Aksakov, chairman of the Duma Financial Markets Committee, believes that "the passage of the law will bring this activity into the legal field, and allow for the formation of a law enforcement practice on issues related to the issuance and circulation of digital currencies." In Russia, bitcoin cannot yet be used for settlements.