For centuries most trade from and to Germany had passed through Russia, and neither side was too happy about it. The Russian leadership mostly let it happen because they could impose customs on the merchants traveling through their land, but the recent increase in commerce thanks to the establishment of a national currency under King Frederick III has made them think that they are missing out on too much of it. Encouraged by the lack of response to the founding of Yaroslavl' they grew bold, and decided to send a delegation to Berlin to demand that King Otto I teach them how to set up their own currency.
The monarch at first stalled for time and didn't even meet them personally, holding court with his various advisors for days until he decided on a course of action. When the delegation was finally received they stated in no unclear terms that Germany will regret it if they didn't comply on this issue. Otto I however laughed heartily at their threats and replied that it was the Russians who will pay dearly if they think they could threaten his mighty kingdom.
Not only did he deny their request, he demanded 40 talents of gold from the Russian crown if the delegates wanted to be returned to their homeland alive to make up for this insult against his honor. It was actually a bluff, Germany couldn't afford the war that would doubtlessly follow such an act against their neighbor at this time, but the rulers in Moscow didn't call it and paid the tribute.
At about the same time bandits were stealing from one of the many corn fields north of Berlin, thinking that the city guard would be too busy watching the Russian visitors to protect the local farmers. They didn't get away with it for long, because the king personally dealt with them as soon as the delegates were on their way home. The culprits were caught easily and enslaved as punishment. All 47 of them were worked to death to complete a temple of Tao that has been under construction for years.
After that issue has been resolved His Majesty assembled the royal court again to discuss foreign policy. While his posturing had secured peace for the immediate future, there was no doubt that it put the long term relations with Russia at serious risk and might make them think about preparing for war. Plans were discussed to find allies against this growing threat: The Spanish are too far away to be of any help, as is Portugal. The Greeks were Russia's best friends due to their shared religion and would definitely not join a war on our side. This left the English and the Dutch. The former were extremely hostile toward Jews in general and Russia specifically, so they would be our best bet. The Dutch did not have any organized religion and were pretty much neutral, so they might be bribed into joining our side. King Otto I ended this session by decreeing that lavish gifts be sent to the peoples of England and the Netherlands to tighten the bond of friendship between our nations. Furthermore he ordered a military build-up. The long time of peace might soon be over...