Russia has started using cryptocurrencies to trade oil with China and India to circumvent Western sanctions. About this informs Reuters.
The scheme looks like this: a Chinese or Indian buyer pays for Russian oil to an intermediary trading company in yuan or rupees. These funds are sent to an offshore account, where they are converted into cryptocurrency, including Bitcoin, Ether or Tether stablecoins. Then the cryptocurrency is transferred to another account and exchanged for rubles already in Russia.
Currently, this scheme applies to a relatively small volume of trade in Russian oil, which the International Energy Agency estimates at $192 billion a year. However, the number of such agreements is gradually increasing.
In addition, Russia will likely continue to use cryptocurrencies for oil trading even if Western sanctions are lifted and the ability to make payments in dollars is restored. Cryptocurrencies are considered a convenient tool that allows you to speed up financial transactions and avoid difficulties with international payments.
