Abkhazia’s de facto government plans to create its own cryptocurrency, with the aim of attracting more funds, Abkhaz Economy Minister Adgur Adzinba confirmed to a local news agency.
According to Eurasianet, Adzinba stated that “the advantage of this [cryptocurrency] market has to do with the fact that any citizen in the entire world can invest in our economy, not fearing sanctions or other awkward limitations placed on us by the international community,”
Abkhazia is cooperating with Russian company Blockchain Solutions Group on the cryptocurrency market. The Abkhazian cryptocurrency will be called Abkhazian Republic Coins.
If Abkhazia, which is a breakaway region of Georgia, does create its own cryptocurrency and place it on the world market, it will be a violation of Georgian law and of international law norms.
Apart from Abkhazia, Moldova’s breakaway region of Transnistria also wants to create its own cryptocurrency to attract more money.
Russian President Vladimir Putin has stated on numerous occasions that he seeks to create a separate cryptocurrency for Russia.
Georgia and the international community do not recognize the independence of the breakaway regions of Abkhazia and South Ossetia.
Following the 2008 August war, only Russia and Nicaragua recognize these territories. Venezuela, Vanuatu, Nauru and Tuvalu joined in 2009, though several years later, Vanuatu and Tuvalu revoked their recognition.