Russia using Crypto in Chinese , Indian Oil Trade: Source

EghtesadOnline:  Russia passed crypto mining legislation in August 2024, ending years of regulatory limbo. The country has reportedly tested cross-border crypto payments as it seeks an alternative to the US dollar to settle international trade deals.

After initially rejecting the idea of cryptocurrencies, the famously conservative Russian Central Bank eventually softened its stance on the potential use of cryptocurrency as a recognized means of payment.

This month, the Central Bank launched an experimental legal framework that would allow “highly qualified” investors to trade cryptocurrencies but stopped short of recognizing cryptocurrency as legal tender. 

Reuters’ report is the first to suggest that Russia is using crypto for oil trade.

Unspecified Russian oil companies are using bitcoin, ether and stablecoins such as Tether to “smooth the conversion of Chinese yuan and Indian rupees to Russian rubles,” Reuters said, citing its anonymous sources.

While transactions supported by crypto are still a small part of Russia’s overall oil trade, they are reportedly growing. 

Reuters noted that Iran and Venezuela are already allegedly using cryptocurrencies to avoid using the US dollar for energy transactions. / Mehr