Digital financial assets in the agricultural sector of Russia and China: comparative analysis of application and prospects for use

Issue № 11, 2025, article № 14, pages 140-148

Section: ABROAD

Language: Russian

Original language title: ЦИФРОВЫЕ ФИНАНСОВЫЕ АКТИВЫ В АПК РОССИИ И КИТАЯ: СРАВНИТЕЛЬНЫЙ АНАЛИЗ ПРИМЕНЕНИЯ И ПЕРСПЕКТИВЫ ИСПОЛЬЗОВАНИЯ

Keywords: DIGITAL FINANCIAL ASSETS, TOKENIZATION, BLOCKCHAIN, AGRICULTURE, AND AGRO-FINANCING

Abstract: Based on the available information, this study attempts to assess the prospects for the use of digital financial assets (DFA) in the agricultural sectors of Russia and the People's Republic of China. As the world faces increasing challenges to food security and the need for agricultural modernization, two global giants, Russia and China, have chosen drastically different paths for digital transformation. This new research article provides a comprehensive comparative analysis of how DFA is changing the rules of the game in these countries' agriculture, revealing a fundamental clash between two ideologies: market decentralization and total state control. The article reveals the main economic, regulatory, and practical implications of each approach. On the one hand, Russia is building a regulated but market-based mechanism in search of financial sovereignty and to circumvent sanctions barriers. On the other hand, China is using its state-owned digitalization machine. By banning private cryptocurrencies, China has opted for a sovereign digital currency (e-CNY) and a national blockchain infrastructure (BSN). China is also far ahead in the field of traceability. The contrast is particularly evident in agricultural insurance. In Russia, parametric insurance based on CFA, where payments are made automatically in the event of drought or frost, remains a theoretical possibility without a single implemented project. In China, however, it is already a working reality. However, none of the models is perfect. China's centralized approach provides incredible scale, control, and efficiency for implementing government policies, but it suppresses private initiative. Russia's market-based model is more flexible and innovative, but it currently serves the interests of only large players, deepening the digital divide. The optimal approach is to implement a hybrid model. The article concludes with a specific step-by-step plan for Russia for 2026-2030, offering a roadmap for integrating best practices to create a truly effective and inclusive digital agro-economy.

Authors: Kolesnikov Andrei Viktorovich, Domozhirova Olga Vladimirovna