A company that is changing the way the world mines bitcoin

Seeking Alpha 2024-12-26 08:46:12

Sanctions? Russia is now using bitcoin for international trade

Can one be a staunch crypto backer and a supporter of U.S. dollar supremacy? That stance could become a dilemma for President-elect Donald Trump, who has touted both goals for his next administration. Case in point: As U.S. sanctions complicate Russia's international trade, the country is turning to bitcoin ( BTC-USD ) and other digital currencies for payments across its borders. "As part of the experimental regime, it is possible to use bitcoins, which we had mined here in Russia [in foreign trade transactions]," Finance Minister Anton Siluanov told the Russia-24 TV channel. "Such transactions are already occurring. We believe they should be expanded and developed further. I am confident this will happen next year." The news follows the Kremlin's recent approval of a tentative legal framework involving Russian crypto miners and supportive comments of the sector earlier this month by the country's top leader. "A legitimate question: why accumulate [dollar] reserves if they can be lost so easily?" Vladimir Putin said at the Investment Forum in Moscow. "Who can ban Bitcoin? Nobody. And who can prohibit the use of other electronic means of payment? Nobody. Because these are new technologies, and no matter what happens to the dollar, these tools will develop one way or another because everyone will strive to reduce costs and increase reliability." More on sanctions Russia and Iran link payment networks to shake off sanctions U.S. prepares new sanctions to curb Russia's military capabilities, Yellen says Can U.S. sanctions on Russia backfire on the dollar's dominance?