Russian Oil Shenanigans: Crypto-Curious Comrades Circumvent Sanctions

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Oh, my dear chap, have you heard the latest from our friends in Russia? They’ve taken to using cryptocurrency to sell oil to China and India, you know. Quite the clever clogs, aren’t they?

Now, I know what you’re thinking: “But Bertie, didn’t Russia pass a law last year allowing digital currencies in international trade?” Well, yes, they did, but using crypto in oil deals? That’s a new one!

According to Reuter’s report, some Russian oil companies are using Bitcoin, Ethereum, and stablecoins like Tether to convert Chinese yuan and Indian rupees into Russian rubles. This method helps speed up transactions and avoid restrictions. Quite the cheeky move, what?

One source said, “Crypto would likely continue to be used in Russian oil trading, even if sanctions are lifted and the dollar can be used again.” Well, I never!

Countries like Iran and Venezuela have already used cryptocurrency to keep their economies by avoiding the U.S. dollar, which dominates the global oil trade. Russia is now following a similar path. Venezuela, for example, has increased digital currency use in its crude and fuel exports since Washington reimposed sanctions.

Despite the growing use of crypto, traditional currencies still dominate Russia’s oil trade. Some payments are also being made in UAE dirhams. Russian crypto exchange Garantex, sanctioned by the U.S. in 2022 and the EU last month, suspended services after Tether blocked its wallets.

U.S. policy on Russian sanctions is uncertain. While some reports suggest the White House is considering lifting certain sanctions, former President Donald Trump has said he may impose even tougher restrictions. Well, I suppose we’ll just have to wait and see what those wily Russians get up to next!

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2025-03-14 23:49