Russia uses Bitcoin for international transactions, says Russian finance minister

Bitcoin to circumvent Russian international sanctions

As the world celebrated Christmas, Anton Siluanov, Russian Finance Minister, announced that Russia was using Bitcoin to conduct transactions with foreign companies, thereby circumventing international sanctions imposed on the Russian economy since the start of the conflict in Ukraine.

Anton Siluanov says:

“As part of the experimental regime, it is possible to use Bitcoin, which we have mined here in Russia. […] Such transactions are already happening. We think they should be expanded and developed further, I am confident this will happen next year”

Image of Finance Minister Anton Siluanov on the set of Russia24

This statement, made on Russian television on the 24-hour news channel Russia 24, speaks volumes about evolving geopolitics, the growing implications of Bitcoin, and seems to respond almost directly to the American opponent.

In July 2024, then-presidential candidate Donald Trump and Senator Cynthia Lummis expressed their intention to create a strategic reserve of one million Bitcoins to reduce the United States' debt. This idea did not go unnoticed in Russia.

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Later in the year, Russia introduced regulations legalizing and regulating Bitcoin mining. A few weeks ago, Vladimir Putin also declared that “no one” could stop Bitcoin.

With the formalization of the use of Bitcoin in Russian international transactions, it is becoming more and more complicated for Western governments to continue to ignore or discredit Bitcoin using fallacious arguments.

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What relationship does Russia have with Bitcoin and cryptocurrencies?

Relations between Russia and cryptocurrencies, notably Bitcoin, have strengthened considerably in recent months and could become a central pillar of its economic strategy.

In March 2024, an investigation revealed that $20 billion worth of USDT passed through Garantex, a Russian exchange, despite international sanctions. At the same time, the Central Bank of Russia announced that citizens had exchanged a total of $51 billion in cryptocurrencies during the year 2023.

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In August 2024, Vladimir Putin signed a law legalizing mining, a measure expected to bring 50 billion rubles per year (more than $500 million) to the state treasury, while consolidating Russia's position in the mining industry. mining. That same month, the country announced the launch of 2 exchange platforms dedicated to BRICS stablecoins, with the aim of accelerating its dedollarization.

In November, a modernized fiscal framework was adopted to regulate Bitcoin mining and trading, despite the imposition of geographic restrictions on certain regions until 2031.

With these reforms, Russia is striving to become a major player in the use of the Bitcoin blockchain, displaying its determination to compete with the United States, bringing game theory to life on a global scale.

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Source : Russia24