CRYPTO NEWS LIKE DESK : Russia is in serious trouble due to the financial sanctions of the Western countries after launching the attack on Ukraine. They are trying various ways to keep the economy running. The country is selling oil at a discount to various countries including India. This is not the end, this time they have said that they will sell oil and gas to friendly countries in bitcoins or rubles.
Pavel Zavalny, the head of the parliamentary committee on Ukraine, said that Russia is considering accepting cryptocurrencies and rubles as payment for oil and gas exports to friendly countries.{ BBC news.}
Earlier last week, Russian President Vladimir Putin said that they want to sell oil and gas in rubles to countries that are not friendly. The value of the Russian currency, the ruble, has fallen by 20 percent since the start of the offensive in Ukraine. Basically, they have decided to pull up the falling currency.
Javalani said, 'Friendly countries China and Turkey are not under US sanctions. We have been proposing to China for a long time—let us use rubles and yuan instead of dollars in international trade transactions. There are even talks about transactions with Turkey through Lira and Ruble. Transactions can also be done with Bitcoin.'
David Broadstock, a senior research fellow at the Institute of Energy Studies in Singapore, said Russia is feeling the negative impact of the sanctions very quickly. Bitcoin can be a medium for transactions between sanctions. The value of Bitcoin has increased by 30 percent this year. About 5 percent of the transactions against the dollar and the euro were also done through cryptocurrencies. However, Bitcoin has risks compared to other currencies.
Russia is now the world's largest exporter of natural gas and second largest supplier of oil. The European Union depends on Russia for almost 40 percent of its oil and gas needs.
After the start of the war, the price of basic goods rose dramatically in Russia. Most of the people think that these basic products are no longer available, so they buy much more than they need. However, there is some shortage in the supply of products in the market. For that reason, Russian citizens have to stand in long queues in front of shops to buy products.
Digital currency expert Ross S. Delston said, 'There is already a growing trend of investing in cryptocurrencies among Russian citizens. They are relying on Bitcoin to avoid future risks.' He said, America is well aware of this problem. Because, a few months ago, a warning from that country's Ministry of Finance said that digital currencies are undermining the effectiveness of American sanctions.
