This marks a significant shift in how Russia navigates global financial restrictions. It is using digital assets to keep its oil flowing.
According to Reuters, Russian oil firms are handling tens of millions of dollars in monthly transactions using cryptocurrencies.
Russia Uses Crypto to Bypass Banking Restrictions in Oil Trade
One anonymous oil trader confirmed that digital assets have become a key tool in securing payments for exports. While Russia’s Finance Minister previously stated in late 2025 that Bitcoin could be used for foreign trade, its application in oil transactions with China and India had not been publicly known—until now.
The process relies on middlemen who use offshore accounts to convert local currencies into crypto before sending funds to Russia. One example involves a Chinese buyer paying a trading company in yuan into an offshore account. That middleman then converts the funds into Bitcoin or USDT and transfers it to another account. Then, it moves it to a third account in Russia. Finally, the crypto is exchanged for Russian rubles.
BREAKING:
Russia is using #Bitcoin, Ether and USDT for oil trade with India to circumvent Western sanctions. — Reuters pic.twitter.com/Ho8sXFD3nE
— Crypto India (@CryptooIndia) March 14, 2025
This workaround helps Russian oil exporters dodge restrictions that limit their access to traditional banking systems. By using crypto, Russia is essentially cutting out the middleman of international banking and going straight to digital currency transactions.
Sanctions and Workarounds
Since Western sanctions limited Russia’s ability to use the U.S. dollar and the global financial system, the country has been looking for alternative ways to keep trade running. Bitcoin, with its decentralized nature and borderless transaction capabilities, provides an effective way to bypass restrictions.
– Has Russia started to utilize alternative [payment] instruments in international trade?
– We’ve passed new laws, as an experimental-policy you can now utilize Bitcoin, which we mined in Russia as mining has been legalized as well. These transactions do take place. pic.twitter.com/FsxkFn51Ns
— Katie | Plan B passport (@PlanBpassport) December 25, 2024
For China and India, two of Russia’s biggest oil buyers, this method offers an easier way to pay for energy without getting caught in the web of international sanctions. The use of Bitcoin and USDT in oil trade is just another example of how cryptocurrencies are changing the global financial landscape.
Disclaimer
The information discussed by Altcoin Buzz is not financial advice. This is for educational, entertainment, and informational purposes only. Any information or strategies are thoughts and opinions relevant to the accepted risk tolerance levels of the writer/reviewers, and their risk tolerance may differ from yours. We are not responsible for any losses you may incur due to any investments directly or indirectly related to the information provided. Bitcoin and other cryptocurrencies are high-risk investments, so please do your due diligence. Copyright Altcoin Buzz Pte Ltd.
The post Russia Uses Bitcoin, USDT for Oil Deals with China, India appeared first on Altcoin Buzz.
