The Russian government has approved the use of Bitcoin for international transactions, taking a new step in bypassing Western sanctions and aiming to expand this approach further.
The Russian government, in an effort to counter Western sanctions, has approved the use of Bitcoin and other cryptocurrencies in international transactions. Anton Siluanov, Russia’s Minister of Finance, announced that such transactions are already underway and need to be expanded. He stated that the use of cryptocurrencies in Russia will continue to grow in the coming year.
According to Bloomberg, Russia’s decision to use cryptocurrencies aligns with a plan announced in July (July and August 2024) to leverage these assets in international trade. This move is a response to the sanctions imposed by Western countries on Russia, prompting the nation to seek new ways to bypass financial restrictions.
In recent years, Russia has turned to cryptocurrencies and stablecoins for conducting trade with other countries, particularly China. In this context, a new law was passed in Russia, allowing companies to use digital currencies in international trade.
One of the cryptocurrencies Russia utilizes is Tether. This stablecoin, which is under strict scrutiny by U.S. authorities, is being used as a tool to bypass Western sanctions. The U.S. Department of Justice is currently investigating allegations against Tether related to violations of sanctions regulations.
While the Russian government continues to use Bitcoin and cryptocurrencies, attention has turned to the role of U.S. economic and regulatory policies, particularly during Joe Biden’s presidency and cabinet selections in Donald Trump’s administration. These developments signal significant shifts in global trade and financial practices.
