Russia Using Bitcoin for Oil Deals? Could Russian Oil Traders Secretly Move Millions via Crypto?
A Reuters story claims that despite international sanctions, Russian businesses have been adopting cryptocurrencies like Bitcoin and USDt to ease trade with China and India. According to a source who spoke on the condition of anonymity because of a non-disclosure agreement, one Russian oil dealer apparently uses digital assets to execute monthly transactions totaling tens of millions of dollars. The usage of cryptocurrency in oil deals with China and India has not been previously revealed, despite the Russian finance minister’s public declaration in late 2024 that Russia is free to employ assets like Bitcoin in international trade.
How Does Crypto Power Russia’s Oil Trade Despite Sanctions?
By managing offshore accounts and facilitating transactions in the buyer’s native currency, intermediaries are involved in Russia’s overseas oil trade in cryptocurrency, according to Reuters. A Chinese purchaser of Russian oil, for instance, might pay a trading firm that serves as the intermediary in yuan into an offshore account. Payments are then transformed into cryptocurrency assets by the middleman and sent to a different account, which subsequently forwards them to a third account in Russia and exchanges them for Russian rubles, according to reports. Even if sanctions are removed and Russia is allowed to use the dollar, cryptocurrency will probably still be utilized in its international oil dealings, according to one of Reuters’ sources.
It is a convenient tool and helps run operations faster,
the report
The news coincides with the Bank of Russia‘s formal proposal to allow high-net-worth individuals with at least $1.1 million in securities and deposits to invest in cryptocurrencies.
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