Russian President Vladimir Putin met with Ethereum’s founder Vitalik Buterin last week during the Saint Petersburg International Economic Forum. The two men discussed the possibility of cooperation in implementing block chain technology in the Russian Federation.

Russia’s interest in cryptocurrencies

According to Coin Desk, the deputy chief of the Central Bank of Russia, Olga Skorobogatova, said that it is time for Russia to develop its own digital currency during her appearance at the Saint Petersburg International Economic Forum. Russia has been studying the possibility of developing its own national cryptocurrency since June last year in order to make Internet transactions safer and to facilitate trade and cooperation between Russia, the European Union, and other countries.

However, two days ago, the Russian news agency “Sputnik” reported that according to the Governor of the Central Bank of Russia, Elvira Nebullina, the Central Bank of Russia views cryptocurrencies as assets and plans to develop its own national cryptocurrency are medium or long-term.

Although Russia’s plans to develop its own national cryptocurrency may be medium or long-term, they still seem to have an immediate interest in them. This seems to have been the reason for the meeting between Russian President Vladimir Putin and Ethereum’s founder Vitalik Buterin and Kremlin’s official statements after the meeting took place.

The meeting between Putin and Buterin

During the meeting, the two men discussed the possibility of cooperation.

According to Bloomberg, Russia may use Ethereum to develop its own national cryptocurrency. After the meeting was held, the Kremlin published the following statement on its website, “The digital economy is not a separate industry, it is essentially the foundation for creating brand new business models.”

Digital currencies can indeed help the Russian economy as they can make internet transactions faster, easier and safer.

Unsafe Internet transactions did plague Russia in the past and the leadership of the country wishes to boost trade by making transactions safer.

Ethereumm, Bitcoin's biggest rival, can be used as a general ledger for such things as currency contracts and property rights among other things. This would bypass intermediaries and make business and trade much faster and easier.

Russian President Vladimir Putin also stated that digital currencies may also help boost growth of the Russian economy as it exits a long-term recession.

Russian authorities are certainly serious about cryptocurrencies. It waits to be seen whether their plans will come to fruition.