On 08/02/2023, the founder of L&P made a statement on the news portal of the newspaper “Izvestia” regarding the possibility of using digital financial assets (CFA) tied to grain or gold in international settlements.
Experts acknowledge that the implementation of CFAs could ensure secure and confidential international settlements.
Alexander Linnikov noted that in the medium term, international settlements in CFAs could become an alternative to financial messaging systems such as SWIFT, adding: “Some experts seriously believe that they represent the future. However, regulatory and infrastructural solutions for the use of digital assets in international settlements have not yet been developed. It will require complex preparation and extensive testing.”
“At the same time, if we look at the matter from an optimistic perspective, it is precisely the sanctions and warnings from US financial authorities to Chinese, Middle Eastern, and Turkish banks that could give impetus to the development of alternative settlement systems. Today, we are witnessing a unique experiment – the search for new fast, secure, and confidential mechanisms for international settlements. Information exchanged within these new systems will, of course, be accessible to the parties to the transactions, their servicing banks, and competent national financial regulators. It is assumed that the possibility of intervention by the financial authorities of so-called ‘unfriendly’ states will be excluded,” explained Alexander Linnikov.
Alexander Linnikov also expressed skepticism about the use of cryptocurrencies as a means of international settlements, citing significant risks and the possibility of sudden collapses of “crypto pyramids,” including due to the lack of emission centers responsible for the stability of so-called “digital currencies.”