Russia mulls using crypto for international payments

REGULATION

The Russian Finance Ministry is “actively discussing” allowing the use of cryptocurrencies in international settlements, according to the head of the Russian finance ministry’s financial policy department quoted by Interfax. The move, which would help mitigate the impact of sanctions, is far from certain as the country’s Central Bank is reportedly opposing the move. [Source: The Economic Times, Interfax, Vedomosti]

Roskomnadzor, a Russian state communications regulator, said it had filed an application in court against seven Western tech companies over alleged violations of personal data laws seeking fines between $90,000 and $270,000. The list of the companies affected includes Google, Airbnb, Pinterest, Likeme, Twitch, Apple, and United Parcel Service Inc. [Source: Gizchina]

Roskomnadzor has also blocked the Russian website of Polish startup Brainly, a platform for soliciting homework assistance. Brainly’s refusal to remove information about the war in Ukraine from its knowledge database. [Source: TechCrunch]

ECONOMY UNDER SANCTIONS

The latest round of EU sanctions has cut Russia’s biggest bank Sberbank from SWIFT payments network, with the lender shrugging off the move and saying the “cutoff from SWIFT is not changing the current situation in international settlements.” [Source: Reuters]

The Ministry for Digital Development of Russia will submit a plan by August 1 to replace foreign-made software now used by federal and regional authorities. Russia-made software and cloud facilities will be available through government platforms with comforting names like Gostech (StateTech) and Gosoblako (StateCloud). [Source: Prime]

Russian Tinkoff bank has temporarily suspended accepting dollar deposits, instead trying to get existing and new clients to choose ruble deposits arguing that they are more profitable now. The measure is driven by a limited number of dollar-denominated financial instruments available to banks now. [Source: RBC]

SOFTWARE

More than 50,000 people have applied for IT courses sponsored by the Russian government since the launch of the education program “Digital Professions” in April this year. The most sought-after professions are Python coder, web designer, and software tester. [Source: TASS]

Artificial Intelligence (AI)-based equipment from startup oVision has reportedly failed to recognize visitors’ faces at the Startup Village exhibition in Moscow. The company dismissed its critics, saying the recognition process requires a signed permission of a person to be recognized, in accordance with the Russian legislation on personal data. [Source: Telegram-channel Skolkovo Leaks]

CIS

Armenia’s female biotech entrepreneurs are capturing international attention, with impact investor and media entrepreneur Lara Setrakian highlighting the country’s biotech boom in Fast Company magazine. She points out the majority of biotech professionals in the country are women who are putting their strong STEM background to work and building interesting applications across medical, biotech and genomics sectors. [Source: Fast Company] 

Kazakhstan President Kassym-Jomart Tokayev has personally met with the head of cryptocurrency exchange Binance Changpeng Zhao to discuss cooperation in various areas related to IT. Binance signed a memorandum of understanding with the country’s Ministry of Digital Development, Innovations and Aerospace Industry to explore the possibilities in cryptocurrencies, banking, and blockchain. [Source: CoinTelegraph]

The academic community of Central Asian countries has been ignoring the problem of climate change and the threats the phenomenon is bringing to the region. A new paper has identified “severe knowledge gaps that hinder the Central Asian countries from adapting to climate change.” [Source: Taylor&Francis Online]

RELOCATION

The number of IT professionals who have left or will leave Russia during the period from January through June will reach 40,000 people, according to a research report by Russoft, a software manufacturers trade association. They estimate about half of this number will return by the end of 2022. [Source: Kommersant]

Russian citizens established 136 companies in Turkey in April against 64 in March. They were the largest segment among foreigners who founded businesses in the country in April, a trend also seen in the Turkish real estate market. [Source: RBC]

NEW MOBILITY

Russian automaker Avtotor is going to produce 200 electric cars in 2023. Prospects of other operations of the company that had been assembling BMW, KIA, and Hyundai still remain unclear. [Source: RBC]

Russian innovation center Skolkovo will become a testing ground for mail drones. The technology is ready, now it’s time for testing and subsequent scaling up. [Source: TASS]

RETAIL

British online marketplace Farfetch has acquired Belarus-based Wannaby, a virtual try-on technology company. Through the acquisition Farfetch aims to expand and scale virtual try-on capabilities on its platform. [Source: Farfetch]

Russian holders of gift cards of Zara, Bershka, Oysho, Mothercare, and Levi`s are complaining they neither can use the cards, nor get their money back after the companies left the Russian market due to Russia’s invasion of Ukraine. The users can sue the companies, but experts say that the businesses can refer to force majeure circumstances to avoid refunds. [Source: Kommersant]