Eurasian Economic Union Struggling To Find Common Cryptocurrency Policy

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  • Russia leading the way ahead with Digital Ruble
  • Smaller EAEU member states more IT conservative 
  • Will need to see proof of benefits and technical funding 

The five member states of the Eurasian Economic Union, or EAEU, have been struggling to come up with a shared stance regarding cryptocurrency regulations, according to Iya Malkina, the assistant chairman of the Eurasian Economic Commission Board.

Malkina stated that EAEU member states did not support a recent initiative for a uniform cryptocurrency regulatory framework within the union.  The EAEU, which includes Armenia, Belarus, Kazakhstan, Kyrgyzstan and Russia, has been seeking to find a unified approach to cryptocurrency regulation, publishing its first report on the subject in 2019. The Russian Ministry of Finance has urged the EAEU to launch a digital currency to circumvent sanctions by the United States.

Malkina said in a press briefing yesterday that the Eurasian Economic Commission has received several proposals to synchronize regulations in the industry of blockchain and crypto. The EEC also recommended developing a basic uniform regulatory framework within the EAEU with a single glossary and principles. However, this proposal did not find support among member states, and the process will have to be rethought.

Malkina said that the EEC has been actively analyzing the impact of cryptocurrencies on the macroeconomic stability of the EAEU member states since December 2017.

Russia’s Sberbank is about to launch a Digital Stablecoin, while Russia itself is going ahead with plans to introduce some pilot schemes for the introduction of a Digital Ruble next year. The smaller, and perhaps more conservative EAEU member states will probably want to see how those pan out first before committing to a unified EAEU cryptocurrency, as well as to see what funding can be obtained to introduce the relevant technologies.

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