Russia’s Finance Minister, Anton Siluanov, confirmed that businesses in Russia are using Bitcoin and other cryptocurrencies for international trade. This move is part of Russia’s efforts to bypass Western sanctions. The increased caution from banks in conducting trade with Russia has made it difficult for the country to trade with major partners like China. Legislative changes in Russia this year have allowed for the use of cryptocurrencies in foreign payments. In August, the country legalized the mining of crypto assets, including Bitcoin, making Russia one of the world’s leading Bitcoin mining nations. Siluanov stated that Bitcoin and other cryptocurrencies have already been integrated into some foreign trade transactions under an experimental regime. He further expressed confidence that the use of cryptocurrencies in international trade will continue to expand. President Vladimir Putin has criticized the US government for using the US dollar for political leverage, leading nations to explore alternative assets like Bitcoin. In a related development, Russia has outlawed Bitcoin and cryptocurrency mining in certain regions due to electricity imbalances caused by subsidized energy costs. However, mining remains legal in other parts of the country, with miners required to report earnings to the Federal Tax Service and limits on energy use.
