**Russia Utilizes Crypto for Cross-Border Oil Trade**
Russia is leveraging cryptocurrencies such as Bitcoin (BTC), Ethereum (ETH), and Tether in oil trade with China and India to evade Western sanctions.
This practice allows for the conversion of yuan and rupees into Russian rubles, although it still constitutes a small part of Russia's oil trade, valued at US$192 billion in 2024.
This payment system involves intermediaries who convert fiat currencies into crypto before converting them back into rubles in Russia.
Crypto transactions for oil trade reach tens of millions of dollars per month. Although traditional currencies remain dominant, the use of United Arab Emirates (UAE) dirham and other alternative methods is also observed.
This move follows the trend of countries like Iran and Venezuela that use crypto to circumvent sanctions. Russia has also developed a crypto-based payment system for cross-border transactions, although cryptocurrencies remain banned as a domestic payment method.
