Disclaimer: Information found on CryptoreNews is those of writers quoted. It does not represent the opinions of CryptoreNews on whether to sell, buy or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk.
CryptoreNews covers fintech, blockchain and Bitcoin bringing you the latest crypto news and analyses on the future of money.
Russia is increasing its adoption of digital financial assets (DFAs), including Bitcoin, for international trade. Finance Minister Anton Siluanov confirmed this development on December 25 during an interview with Russia-24, a state-owned news outlet.
Overcoming Sanctions: How Russia Uses Bitcoin in Trade with China
Russian businesses are progressively utilizing Bitcoin and other cryptocurrencies for international transactions. This initiative is part of a larger strategy to circumvent Western sanctions and address obstacles in global trade.
Finance Minister Anton Siluanov acknowledged this transition today, referencing recent legislative updates that permit the use of cryptocurrencies for overseas payments.
Russia has encountered increasing challenges in trading with key partners such as China. Numerous banks are hesitant to engage in transactions with Russian entities, concerned about possible consequences from Western authorities.
In response, Russia has adopted cryptocurrencies as a viable alternative. Siluanov disclosed that the country has enacted laws permitting the use of DFAs and Bitcoin in international trade.
He mentioned that such transactions are currently in progress and that the government intends to expand their implementation further.
The minister underscored that employing DFAs as a substitute for the U.S. dollar in foreign trade is both sensible and forward-thinking.
He characterized it as a move toward modernizing global settlement systems.
“This is the future,” Siluanov remarked, noting that Russia’s experimental legal framework for DFAs, introduced in September 2024, allows for these activities.
He elaborated:
“We can pay for goods with DFAs. It’s also possible to use Bitcoin mined within Russia under this regime.”
Siluanov emphasized that the regulatory foundation is established and that such transactions are already occurring.
He expressed confidence about the next phase of development, stating,
“These activities will grow. By next year, it will be a reality.”
Related Posts
Putin Challenges U.S. Dollar Dominance, Sees Bitcoin as an Alternative
While endorsing Bitcoin for trade, Siluanov has urged caution regarding cryptocurrency investments.
At an educational event in November, he cautioned the public against viewing crypto as a means for quick financial gains.
He stated:
“I don’t recommend cryptocurrency as a means of investment. There are safer ways to invest and achieve good returns.”
At that time, Bitcoin had surpassed $76,000 and was approaching the $100,000 threshold.
Siluanov’s remarks reflect the government’s dual strategy toward crypto: promoting its use in trade while advising caution in personal investments.
This year, Russia has advanced its cryptocurrency regulatory framework to enhance international trade. In August, the nation legalized crypto mining, including Bitcoin.
President Vladimir Putin has criticized the dominance of the U.S. dollar in global finance, accusing the U.S. of weaponizing its currency.
Putin proposed that Bitcoin serves as an alternative since it functions outside governmental control.
Despite the growing use of crypto, Russia has implemented regional mining restrictions.
The Russian government has approved a decree banning cryptocurrency mining in 10 regions from January 1, 2025, according to TASS. #CryptoMining #Russia https://t.co/CIaaIZFypk
— Cryptonews.com (@cryptonews) December 24, 2024
Mining will be prohibited in Dagestan, Chechnya, and parts of Donetsk, Lugansk, Zaporizhia, and Kherson starting January 1, 2025.
These restrictions, effective until March 15, 2031, aim to address power-related issues associated with subsidized energy in these regions.
In other areas, miners are required to report earnings to the Federal Tax Service and comply with energy regulations. Although Russia recognized Bitcoin as a financial asset in 2021, its use as a domestic payment method remains banned.
The post Russia Expands Use of Bitcoin in Foreign Trade, Says Finance Minister appeared first on Cryptonews.
