British authorities are reportedly considering “an opportunity to support the suspension of Russia from the SWIFT international payment system, citing a hypothetical military conflict that could erupt between Russia and Ukraine.

Prime Minister Boris Johnson “fears some world leaders may not appreciate the deteriorating picture on the Ukrainian border, or fully comprehend the risks posed by a bullying Russia,” The Telegraph reports, citing sources close to the leader.

Over the past few months, a wide range of Western media outlets, along with multiple US officials, have been spreading speculation about an imminent Russian invasion of Ukraine. Washington and its allies threatened Kremlin with a new round of ‘crippling’ sanctions if this happens, citing the movement of Russian troops within the country’s vast Western territory as evidence of the plan. Moscow has consistently rejected the allegations, saying that Russia has a right to carry out military maneuvers as it pleases within its borders.

READ MORE: German politician compares anti-Russian sanctions to atomic bomb

According to the British premier, the potential sanctions against Russia “cannot exclude” Nord Stream 2, the widely debated pipeline that is designed to increase gas supplies to crisis-hit European nations and is currently stuck in a protracted EU certification process.

Johnson is reportedly due to hold calls with G7 leaders to finalise a “sanction coalition” to introduce targeted measures against Russia.

Earlier this week, Bloomberg reported that officials at the UK Foreign Office were told to be ready to move into “crisis mode” at very short notice, as “concerns that Russia’s aggression toward Ukraine could escalate into conflict” increased. That reportedly means that officials and diplomats would focus their work on the UK response to any further spike in tensions, including deterrence and sanctions.

READ MORE: Russia responds to British ‘coup’ allegations

On Saturday, London’s Foreign Office issued grotesque claims that Moscow was plotting to “install a pro-Russian leader in [Kiev] as it considers whether to invade and occupy Ukraine.” Russia’s Ministry of Foreign Affairs has dismissed the claim, urging the UK to stop spreading “nonsense” and “disinformation.”

The idea of cutting Russia off the SWIFT banking network was reportedly considered as one of the options to punish Russia for the military assault they have been warning about, but was rejected by EU and US politicians, Das Handelsblatt reported earlier this week, citing sources close to the matter. The measure might reportedly result in a destabilization of financial markets in the short term and, in the medium term, in the development of an alternative payment infrastructure.

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Article source: https://www.rt.com/business/546874-uk-support-russia-swift-suspension/?utm_source=rss&utm_medium=rss&utm_campaign=RSS

The European Union is in talks with its trading partners in search of viable options to increase supplies of natural gas to its member states, according to the bloc’s Energy Commissioner Kadri Simson.

“The gas storage levels in the EU are significantly lower than usual at this time of the year,” Simson said, after a meeting with European energy ministers in France on Saturday.

The energy chief added that EU authorities need to remain “extremely vigilant” to make sure the bloc is ready for emergency situations at a time of unusually low gas storage levels, along with increased tensions beyond its eastern borders.

READ MORE: US looking for ways to get extra cash out of EU energy crisis – reports

“The Commission is also discussing with our partners the potential to increase supplies to Europe,” she added.

Last year, Europe was hit by an unprecedented energy crunch that sent gas and power prices skyrocketing, and forced several industrial giants in the region to curb production, while households had to struggle with persistently rising bills for electricity and heating.

The severe energy crisis has recently been exacerbated when storage tanks in the EU dropped to their lowest seasonal levels in more than ten years. The decline reportedly occurred due to longer-than-usual maintenance at Norwegian fields and to Russia restocking its own inventories.

Moreover, the latest speculation over probable military conflict between Russia and Ukraine is also fueling concerns about Russian gas supply. The US and Western allies have pledged to impose a new series of sanctions against Moscow in the event of an invasion. The sanctions may reportedly target Russian energy sales.

READ MORE: France may see 40% electricity price surge by February

“My message is that Europe has a robust, well diversified and resilient gas infrastructure and clear procedures of solidarity in case of emergencies,” Simson stressed, calling for even stronger solidarity between member states.

According to the European Commission, among the bloc’s 27 member states, 22 have implemented the necessary steps to cushion the impact of the energy crisis, such as lower taxation and duties, direct income support and vouchers.

Such measures have reportedly helped some 70 million individual customers and several million small- and medium-sized companies.The bloc’s authorities are also discussing draft rules to improve their coordination on gas storage, as well as to enable voluntary purchases of strategic gas reserves. EU member states have also been seeking to reform its power market.

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Article source: https://www.rt.com/business/546870-eu-boost-gas-supplies-crunch/?utm_source=rss&utm_medium=rss&utm_campaign=RSS

The world’s biggest digital asset, Bitcoin, fell as low as $34,042.78 on Saturday, marking a drop of 7.2%. It has recovered most of those losses, and was trading at $35,445 at 14:19 GMT. Other cryptocurrencies saw declines as well, with Ethereum down 12%. Solana and Cardano each dropped at least 17%, according to Coinbase.

“Margin positions being liquidated caused a wave of additional sell pressure, as assets that had been held as collateral were forcibly sold to pay for margin loans,” Hayden Hughes, chief executive officer at Alpha Impact in Singapore, told Bloomberg.

The expert expects the cryptocurrency to take some time for a bottom to form and for confidence to return, before projecting any sort of bullishness.

READ MORE: Russia set for complete ban on cryptocurrencies

Bitcoin’s downfall from its peak has erased some $600 billion from its market value, and more than $1 trillion has been reportedly lost from the aggregate crypto market. According to Bespoke Investment Group as quoted by the agency, this marks the second-largest-ever decline in dollar terms for both, while there have been much larger percentage drawdowns for both Bitcoin and the aggregate market.

The slump in both cryptocurrencies and stocks was caused by the latest move by the US Federal Reserve to tighten monetary policy at a faster pace than expected. In an effort to revive the economy, the Fed may increase key interest rates three times this year, according to Reuters polls.

The cryptocurrency market has also been rocked by China’s crackdown on virtual currencies, as well as Russian moves of a similar nature. Last year, Beijing prohibited cryptocurrency mining in the Sichuan Valley, triggering an adverse impact on the market.

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Article source: https://www.rt.com/business/546846-bitcoin-drop-half-november-peak/?utm_source=rss&utm_medium=rss&utm_campaign=RSS

The world’s biggest digital asset, Bitcoin, fell as low as $34,042.78 on Saturday, marking a drop of 7.2%. It has recovered most of those losses, and was trading at $35,445 at 14:19 GMT. Other cryptocurrencies saw declines as well, with Ethereum down 12%. Solana and Cardano each dropped at least 17%, according to Coinbase.

“Margin positions being liquidated caused a wave of additional sell pressure, as assets that had been held as collateral were forcibly sold to pay for margin loans,” Hayden Hughes, chief executive officer at Alpha Impact in Singapore, told Bloomberg.

The expert expects the cryptocurrency to take some time for a bottom to form and for confidence to return, before projecting any sort of bullishness.

READ MORE: Russia set for complete ban on cryptocurrencies

Bitcoin’s downfall from its all-time high of nearly $69,000 in November has erased some $600 billion from its market value, and more than $1 trillion has been reportedly lost from the aggregate crypto market. According to Bespoke Investment Group as quoted by the agency, this marks the second-largest-ever decline in dollar terms for both, while there have been much larger percentage drawdowns for both Bitcoin and the aggregate market.

The slump in both cryptocurrencies and stocks was caused by the latest move by the US Federal Reserve to tighten monetary policy at a faster pace than expected. In an effort to revive the economy, the Fed may increase key interest rates three times this year, according to Reuters polls.

The cryptocurrency market has also been rocked by China’s crackdown on virtual currencies, as well as Russian moves of a similar nature. Last year, Beijing prohibited cryptocurrency mining in the Sichuan Valley, triggering an adverse impact on the market.

For more stories on economy finance visit RT’s business section

Article source: https://www.rt.com/business/546846-bitcoin-drop-half-november-peak/?utm_source=rss&utm_medium=rss&utm_campaign=RSS

Pavel Durov, the executive director and founder of Telegram, one of the world’s most popular messaging apps, has said a proposal to ban cryptocurrency mining and crypto-related transactions via Russian financial services would lead to an inevitable outflow of IT specialists.

The ban, which has been touted by Russia’s central bank, would also destroy a number of sectors in the high-tech economy, the billionaire said, noting that no developed country has prohibited cryptocurrencies.

“Such a ban will inevitably slow down the development of blockchain technologies in general,” Durov said in the post shared on his Telegram channel and on VK, Russia’s most popular social media platform.

“These technologies improve the efficiency and safety of a wide range of human activities, from finance to the arts.”

READ MORE: Russia’s ban on crypto: What it means in reality

Earlier this week, the Central Bank of Russia called for the issuance, circulation, exchange, and trade of cryptocurrencies and stablecoins to be prohibited, as well as banning the organization of these operations on Russian soil.

The 37-year-old billionaire highlighted that “Russia’s neighboring states, from Ukraine to Uzbekistan, are adopting advanced laws and regulations related to the blockchain sector, as they are not willing to be left behind technological and economic progress.”

According to Durov, Russia is one of the world’s leading nations when it comes to the number of high-end professionals working in the blockchain industry.

“Thoughtful regulation will allow the country to balance the distribution of forces in the international financial system and become one of the major players in the new economy,” he added.

The businessman admitted that regulatory drive is natural for state authorities when it comes to the circulation of cryptocurrencies, but a total ban on assets of this kind is throwing “the baby out with the bathwater.”

“The step could hardly stop unconscientious participants, but it will put an end to legal Russian projects in the area,” Durov said.

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Article source: https://www.rt.com/business/546838-durov-assesses-crypto-ban-russia/?utm_source=rss&utm_medium=rss&utm_campaign=RSS

US officials are reportedly negotiating opportunities for contingency steps to secure energy supplies to European nations if a possible conflict between Russia and Ukraine disrupts current deliveries.

“We’re looking at what can be done in preparation for an event, especially midwinter with very low [European natural gas] supplies in storage,” a senior US administration official said, as quoted by FT.

“We discussed what can be moved around the market, what can help… the things we can prepare now for deployment if and when there is an escalated crisis.”

The talks with Qatar and member states of the European Union are being held as the bloc is struggling with a severe energy crunch, which is sending prices for natural gas soaring to record highs. The crisis could become even more intense if the White House introduces new punitive measures against Russia should Moscow launch a military assault on Ukraine.

READ MORE: Crippling sanctions against Russia could boomerang back onto US allies – reports

Speculation about an invasion was initiated by Ukrainian and US officials several months ago, and has been actively fueled by both government officials and Western media outlets. The Russian authorities made it clear that it has no plans of this kind.

Moreover, Western nations have accused Russia of squeezing gas supplies in the midst of the energy crunch. The allegations, repeatedly rejected by the Russian government, have been actively used by Washington in the longstanding debate with Berlin over the necessity of launching the Nord Stream 2 gas pipeline, the construction of which was led by Russian state-run energy giant Gazprom.

In an attempt to ramp up sales of liquified natural gas (LNG) to Europe markets, the US has regularly accused EU member states of heavy reliance on Russian gas supplies, persistently offering its LNG, the price of which is up to 40% higher than the piped gas, as an alternative source of fuel. 

READ MORE: US seeking ways to profit should Russia-Ukraine conflict break out – reports

Potential sanctions over the Russia-Ukraine conflict may target major Russian commercial banks, Russia’s energy sector, blocking the state’s access to bond markets, cutting the country off from the SWIFT international payment system, and intensifying export control measures.

Europe will almost certainly face extremely high prices in the event of sanction-related supply disruptions, and co-ordinated government action will be required to source seaborne LNG cargoes, according to an unnamed energy industry executive, as quoted by the media. 

“They will effectively have to compete for all the supply in the market, taking cargoes away from Asia, and the likely end result is the taxpayer will pay,” the executive said.

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Article source: https://www.rt.com/business/546831-us-qatar-lng-eu-energy/?utm_source=rss&utm_medium=rss&utm_campaign=RSS

Shell’s multimillion-dollar project “Quest” in Alberta province in western Canada, built to trap and store carbon dioxide emissions, has been criticized as insufficient by an international NGO. In a report by Global Witness published on Thursday, the organization suggests the oil giant’s plant emits “more climate-wrecking gasses than it is capturing.”

According to the investigation, the carbon footprint left by the self-proclaimed “safe and effective” project exceeds the amount of greenhouse gas it has captured. While Shell says the plant’s carbon-capture system has stopped some five million tons of carbon dioxide from entering the atmosphere in less than five years, this “only tells one side of the story,” the report states. Over the same period of time, it released 7.5 million tons of polluting gasses. 

The climate damage caused by the plant’s annual carbon footprint is the equivalent of 1.2 million petrol cars, according to Global Witness.

Only a few similar projects exist worldwide, and the Shell-operated Canada plant is being largely subsidized by the government to reduce carbon emissions. However, according to the findings, the plant’s effectiveness has been significantly overstated.

“Just 48% of the plant’s carbon emissions are captured, we found, falling woefully short of the 90% carbon-capture rate promised by industry for fossil hydrogen projects,” the report says. It calls for a halt to support and investment in a technology “that is not only failing to deliver any effective action in tackling the climate crisis – but is in fact contributing to it.”

READ MORE: LEAKED documents reveal intense ‘lobby activism’ by fossil fuel players to ‘water down’ UN climate change report – media

Earlier this week, a large group of scientists and academics in Canada urged their country’s government not to sponsor companies using the technology. Tax credits should not become “a fossil fuel subsidy,” they said in a letter. 

Shell claims its carbon-capture technology “overall has met or exceeded our expectations,” according to Vice, quoting the company’s regional spokesperson. Apparently Quest doesn’t cover the whole facility.

“This analysis is simply wrong. Our Quest facility was designed some years ago as a demonstration project to prove the underlying… concept, while capturing around a third of CO2 emissions,” an unnamed Shell spokesperson said, according to Sky News. 

The expensive technology is promoted as a solution to make fossil fuels more environmentally friendly by trapping and storing emissions. A coalition of more than a dozen energy companies has been formed to support a major carbon-capture hub in Houston, US. Shell has recently joined in, supporting the carbon-capture and storage project, which is estimated to cost $100 billion. 

Article source: https://www.rt.com/business/546779-carbon-capture-shell-emissions/?utm_source=rss&utm_medium=rss&utm_campaign=RSS

The Central Bank of Russia issued a report on Thursday in which the regulator proposed to officially prohibit the issuance, circulation, exchange, and trade of cryptocurrencies and stablecoins (tokens linked to fiat currencies), as well as banning the organization of these operations on Russian soil.

1. What would be the implications of the crypto ban? 
   The ban would effectively mean Russians won’t be able to pay with crypto holdings for any goods, works, or services – not for a cup of coffee, nor for a taxi ride. They also won’t be able to make money transfers in crypto, nor organize a crypto exchange.
2. Will you go to prison if you don’t comply with the crypto ban?
   No. The regulator has proposed fining firms and individuals that violate the ban.
3. Does the ban include owning crypto assets?
   If you’re an individual investor, then the answer is no. You can still own crypto, but only as an asset. You won’t be able to use it in Russia, but you will be free to use it abroad. However, it has been proposed that operations with cryptocurrencies in foreign jurisdictions by Russian citizens should be monitored.
4. Who can’t own crypto assets?
   The regulator has proposed banning all financial enterprises from owning investments in cryptocurrencies or using related financial instruments. The use of Russian financial intermediaries and financial market infrastructure to carry out any operations with cryptocurrencies will also be illegal.
5. Why does Russia want to ban crypto?
   The Central Bank has been vocal about the threats posed by cryptocurrencies due to transaction anonymity. The regulator has warned crypto is becoming increasingly popular for illegal activities, including fraud, money laundering, and terrorist financing. Moreover, a widespread use of cryptocurrencies could undermine the stability of the ruble, leading to an outflow of capital from the country, the regulator says. Due to the flow of capital from the traditional financial system to the cryptocurrency market, there is a further threat to the financing of the real sector of the economy.
6. What are the immediate results of the ban?
   As the ban is merely a proposal for now, it has not yet led to any financial consequences. However, as the central bank has outlined, Russian citizens account for a significant share of the global cryptocurrency market. The volume of operations of Russian individuals with cryptocurrencies may reach $5 billion, the report says. Russia is also the globe’s third-largest bitcoin miner, accounting for roughly 11% of its mining volume. While individual crypto-owners would have to merely buy a plane ticket to use their crypto holdings outside Russia (which is also an inconvenience, but a relatively small one), miners would have to spend a lot on moving their activities across the border to some more crypto-friendly state.
7. What has been the public reaction to the proposed crypto ban?
   As expected, the prospect of a crypto ban has been met with a wave of opposing public opinions. Crypto-enthusiasts state that the central bank’s approach is unprofessional, and that it won’t be able to monitor and prevent all crypto operations in any case. While supporting the idea of crypto regulation – for instance, to pluck out illegal transactions – the community is appalled by the idea that authorities may prohibit activities which are safe and legal. Others, however, say that Russia has a right to defend its national currency.
8. Could crypto ban be implemented?
   The Central Bank now wants to discuss with the market whether its participants support the proposed crypto ban. But experts have already warned that even if the ban is officially introduced, authorities will have a hard time enforcing it. For instance, the regulator has practically no tools to detect transactions with cryptocurrencies. Experts warn that authorities would have to completely stop all transfers between individuals to limit p2p transactions and payments to crypto exchanges across Russia. An action on such a scale would not be approved, even for the Bank of Russia.
9. Can Russia stop crypto-mining?
   This situation is also complicated, as most miners in Russia do not use the power of commercial data centers, but instead organize their own sites. “Theoretically, such sites can be identified, but the question is how much it will cost, how expedient it will be. It is impossible to distinguish a mining farm from, for example, a greenhouse remotely – they both consume electricity evenly and around the clock; that is, you will need to gain personal access to every facility,” Dmitry Bederdinov, Data Centers and Cloud Technologies Council CEO, told RBC. Imagine a police officer going from door to door to check whether you mine crypto or grow strawberries.
10. What are the long-term consequences for Russia?
    Analysts warn that in the event of a ban, the crypto sector in Russia will turn into a huge black market, which might be far worse than even its current unregulated state. Also, the restrictions proposed by the central bank will hardly solve either the problem of money leaving supervision or the growth of crypto investments, especially given that the regulator would allow Russians to own crypto and use it abroad – so much for stalling capital outflows. Overall, the majority of analysts believe that what Russia needs is clear regulation of crypto, not a sweeping ban.

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Article source: https://www.rt.com/business/546744-crypto-ban-russia-explained/?utm_source=rss&utm_medium=rss&utm_campaign=RSS

South Korean electronics giant Samsung has pulled an advertisement that featured a real-life Singapore family, in which the hijab-wearing mother expressed her support for her drag-queen son by hugging him.

They were one of four families that appeared in the ad under the slogan “Listen to your Heart,” which was meant to promote Samsung’s new smart watch. The device has a heart-rate monitor and noise-canceling earbuds.

The ad triggered anger online, with some accusing Samsung of trying to promote LGBTQ ideology and being insensitive to the Islamic faith. According to Singapore’s 2020 census, 15.6% of the country’s population identify as Muslim.

Samsung published a statement online on Wednesday, admitting that the production may be perceived as “insensitive and offensive,” adding that they had removed the video from all public platforms.

The drag queen in the video is known as Vyla Virus and has been described online as one of Singapore’s most prolific drag performers. He has since appeared on his Instagram platform to say the footage was all about a mother’s love and nothing more.

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Article source: https://www.rt.com/business/546739-samsung-pulls-drag-queen-ad/?utm_source=rss&utm_medium=rss&utm_campaign=RSS

A Central Bank Digital Currency (CBDC) should “complement, rather than replace current forms of money and methods for providing financial services,” the Federal Reserve Board of Governors said in a study released on Thursday, which it claimed was the first step in a public discussion about a “digital dollar.”

Clocking in at just 40 pages, including appendices and footnotes, the study examines the pros and cons of a CBDC and solicits feedback from the public and the authorities.

“We look forward to engaging with the public, elected representatives, and a broad range of stakeholders as we examine the positives and negatives of a CBDC in the US,” Fed Chairman Jerome Powell said in a statement.

Introduction of the digital dollar would “represent a highly significant innovation in American money,” the study said, which is why the Fed “does not intend to proceed with issuance of a CBDC without clear support from the executive branch and from Congress, ideally in the form of a specific authorizing law.”

READ MORE: Countries set to launch e-money this year

The Fed noted that the dollar currently consists of three types of money – the physical currency issued by the Federal Reserve, the digital money held by commercial banks, and “nonbank money,” a digital account of transactions used by other financial service providers. 

While setting up a Fed-backed digital dollar would offer safe and fast payments between Americans and even commerce with other countries, “there may also be downsides,” such as questions about how the government could preserve citizens’ privacy, combat illicit transactions, and “preserve monetary and financial stability,” the Fed said.

Current digital payment methods tend to fail during “natural disasters or other large disruptions,” forcing affected areas to rely on cash transactions, the study noted.

The US central bank also warned that other countries or currency unions could roll out their own CBDCs that may end up more attractive than the existing forms of the US dollar, posing a threat to its status as the world’s reserve currency. A “US CBDC might help preserve the international role of the dollar,” the Fed said.

Article source: https://www.rt.com/business/546698-digital-dollar-federal-reserve/?utm_source=rss&utm_medium=rss&utm_campaign=RSS