Ukraine promises sanctions over Russia’s use of Bitcoin in foreign trade: report

As a seasoned analyst with extensive experience in global economic affairs and geopolitics, I find the ongoing developments between Ukraine and Russia regarding cryptocurrencies intriguing. The escalating tensions between these two nations have always been a subject of keen interest for me, given my professional background.

Ukraine is preparing to impede Russia’s utilization of Bitcoin and other digital currencies in international commerce, as restrictions are being developed in this regard.

The Ukrainian government has revealed strategies involving “sanctions and alternative methods” designed to prevent Russia from utilizing Bitcoin (BTC) in global transactions. This announcement follows just one day after Russia’s Finance Minister, Anton Siluanov, openly acknowledged that Russian businesses are already employing cryptocurrencies as a means to bypass Western sanctions.

Advisor to Ukraine’s President, Vladyslav Vlasiuk, stated that Ukraine had previously informed its global allies about Russia’s potential moves this year. He added that efforts to curb undesired cryptocurrency transactions are currently being formulated, according to Ukrainska Pravda’s report.

Were we taken aback by this development? Not at all, as we were among the first to alert our partners about the enemy’s potential plans, way back in the summer. We’re currently working on appropriate sanctions and alternative strategies to prevent undesirable cryptocurrency transactions.

Vladyslav Vlasiuk

Russia seeks Plan B

Russia has been seeking alternative methods to bypass sanctions affecting its international payment capabilities, including transactions with countries such as China. Previously mentioned in crypto.news, Russian businesses have started utilizing stablecoins like Tether’s USDT for cross-border transactions.

Major Russian metal manufacturers are now utilizing stablecoins for transactions with Chinese business partners, although the exact amount exchanged remains unknown. It’s been reported that other methods might be too slow or carry the potential risk of having a foreign bank account seized.

Siluanov’s confession has occurred merely a few months following the Kremlin setting up a regulatory structure for Bitcoin mining operations. This setup permits authorized firms to utilize cryptocurrency in global trading activities.

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2024-12-26 16:50