According to Reuters, with reference to four knowledgeable sources, Russia is already using cryptocurrencies, such as Bitcoin, Ether, and Tether, to trade oil with China and India in an attempt to circumvent Western sanctions. Despite the fact that the country publicly supports the use of digital currencies and has passed a law allowing their use in international trade, the specific use of cryptocurrencies in the oil sector has not been previously reported.
Some Russian oil companies use cryptocurrencies to simplify the conversion of yuan and rupees into rubles. This practice is still limited, but it is gradually expanding and becoming part of the overall structure of the oil trade, which last year amounted to about $192 billion, according to the International Energy Agency. Cryptocurrencies have also helped other countries, such as Iran and Venezuela, evade dollar settlements while under sanctions.
Despite the anonymity of the sources, it is known that the use of cryptocurrencies may continue even after the possible lifting of sanctions, as they provide a convenient tool to speed up financial transactions. The Central Bank of Russia has previously raised questions about payment delays due to sanctions pressure, which is exacerbating the country's economic difficulties.
