Russia using Bitcoin for foreign trade !

[pooya87]

It doesn't. That was the plan from the get-go.

It's alternative to BRICS. Using that for foreign trade encourages everyone else to do the same, and abandon BRICS. Why would that be in the plan from the get-go?

There is no conflict here. Bitcoin is still too small and too volatile to be used as the replacement for the Dollar (SWIFT, etc.). The replacement that BRICS will introduce should have stability and provide control to member governments for it to be a viable option.

BRICS is also not just a payment system, it is far more than that... It can even be called a bloc...

[shield132]

The US can also easily track Bitcoin transactions and threaten countries with 100% tariffs, so this can't be the deal in this situation but they do it anyway, why? Wouldn't Monero be a better choice?

Monero is the best option, but if Russia accept it, this will not good for the public perception because people always think Monero = criminal, so public would think Russia = criminal. Maybe Russia will use DEX or other tools to hide their Bitcoin origin.

It's good decision for Russia, they can improve their privacy using Bitcoin and the US can't just implement any rules like they want because they also use Bitcoin.

Does Russia care about public perception? Putin does whatever he wants with whoever he wants. I don't think that DEX will be enough for such a big country because liquidity on DEX is very low compared to centralized exchanges but they won't be able to use cexs because cexs are regulated.
I think that Putin can ignore public perception and push Monero into active usage, he will explain it by calling Monero the only tool that will be able to bypass US restrictions. I believe that Russia will secretly be using Monero.

Russia wants to use Bitcoin against USD but it's funny because in the end, Bitcoin's value is calculated in USD. Bitcoin is best in terms of reserves because no one will be able to ban or steal their Bitcoin reserves.

[ndutndut]

Russia has been struggling to trade with its allies for the past few years due to US sanctions. Currently, there is a fear that US sanctions against several more Russian companies will further harm it. The restrictions on foreign banks to receive the price of export products and the impact of the sole dominance of the US dollar. They have already started using Bitcoin for commercial transactions and experts believe that this is a breakthrough step for Russia. Bitcoin transactions will increase further as an alternative to the dollar in the world.

Bitcoin is currently becoming one of the most important financial strategy for the two most powerful countries in the world.

What Russia did was a very right decision by making a regulation that they will make international payments with bitcoin, of course this is a reflection of the future. In addition, as we all know, Western countries are indeed aggressively imposing sanctions and even making it difficult for Russia to trade with major partners such as China or Turkey. On the other hand, many local banks refuse to transact with Russian companies to avoid supervision from Western regulators, especially the US.

So the steps taken by Russia are the right steps to fight the US. Russia chose Bitcoin as a means of transaction in international trade because they know that no one in the world can regulate Bitcoin. My hope is that with the policies currently being implemented by Russia, other countries will follow suit and abandon the dollar and use bitcoin.

[Olatundespo]

Russia has been struggling to trade with its allies for the past few years due to US sanctions. Currently, there is a fear that US sanctions against several more Russian companies will further harm it. The restrictions on foreign banks to receive the price of export products and the impact of the sole dominance of the US dollar. They have already started using Bitcoin for commercial transactions and experts believe that this is a breakthrough step for Russia. Bitcoin transactions will increase further as an alternative to the dollar in the world.

Bitcoin is currently becoming one of the most important financial strategy for the two most powerful countries in the world.

What Russia did was a very right decision by making a regulation that they will make international payments with bitcoin, of course this is a reflection of the future. In addition, as we all know, Western countries are indeed aggressively imposing sanctions and even making it difficult for Russia to trade with major partners such as China or Turkey. On the other hand, many local banks refuse to transact with Russian companies to avoid supervision from Western regulators, especially the US.

So the steps taken by Russia are the right steps to fight the US. Russia chose Bitcoin as a means of transaction in international trade because they know that no one in the world can regulate Bitcoin. My hope is that with the policies currently being implemented by Russia, other countries will follow suit and abandon the dollar and use bitcoin.

This is a bold decision for Russia to make commercial transactions through Bitcoin. This can certainly be an example for the world to reduce pressure on the dollar. As a result of this decision, financial banks in the world that depend on the dollar may think of alternatives, although there may be many complications in its implementation. The idea of ​​an alternative to the dollar has now begun, so I am optimistic that new ideas may be created in its implementation in the future.

The United States tries to maintain its dominance over every country in the world with the dollar and they have succeeded in this system. If Russia can keep the alternative to the dollar, Bitcoin, running on a larger scale, it will have a positive impact on its country's economy and the entire world economy may undergo radical changes.

Russia will make more progress in the future of Bitcoin payments.



https://x.com/BTC_Archive/status/1873007052756533336

[Lucius]

Why would Russia as a country be interested in having a profile on BTT? Additionally, this forum is banned in Russia, so anyone coming from that country must use a VPN or Tor. Which leads us to the conclusion that they are real hypocrites, allegedly using BTC for trading - and at the same time banning crypto forums.

I didn't  know that Russia ban access to Bitcoin forum. They hate the USA but does it make them banning all websites from the USA?
The forum is USA-based, and it makes me thinking about this policy action from Russia but I think it is really too serious if they do that. The forum does nothing harmful to the Russia, so in my thinking no reasons for Putin to restrict Russian access to Bitcointalk forum.

This happened a few years ago, and I don't think it had anything to do with the fact that the forum is somehow US-based, or maybe even the fact that cryptocurrencies are discussed here. If I remember correctly, that ban came from some Russian ministry that has nothing to do with finance or anything similar.

However, those who are corrupt and behave like dictators do not need an excuse to forbid something, they simply do it.

HITLER USING BITCOIN FOR FOREIGN TRADE!
Economic minister says that "special relocation projects" can now be fully funded.
...
...

Folks, it's fine to be enthusiastic about Bitcoin adoption, but not all news is necessarily good news. Right now Russia is sending thousands of its young people to die every day, and committing daily atrocities on Ukraine. I suspect the news is going to get worse and worse for them as the war drags on. This is not something we want associated with Bitcoin.

Nothing matters as long as the price of BTC goes up, not even all the suffering and destruction happening in 21st century Europe. I have a similar opinion as you, but most people on this forum are completely fascinated with any news coming out of Russia or China and don't care that the average citizen of those countries will not benefit from what their governments are doing with BTC.

[pooya87]

HITLER USING BITCOIN FOR FOREIGN TRADE!
Economic minister says that "special relocation projects" can now be fully funded.
...
...

Folks, it's fine to be enthusiastic about Bitcoin adoption, but not all news is necessarily good news. Right now Russia is sending thousands of its young people to die every day, and committing daily atrocities on Ukraine. I suspect the news is going to get worse and worse for them as the war drags on. This is not something we want associated with Bitcoin.

Nothing matters as long as the price of BTC goes up, not even all the suffering and destruction happening in 21st century Europe. I have a similar opinion as you, but most people on this forum are completely fascinated with any news coming out of Russia or China and don't care that the average citizen of those countries will not benefit from what their governments are doing with BTC.

What even more fascinating is that some people are only sensitive to certain news. Like if it is Russians using bitcoin we suddenly see certain number of "worried" users and we even see the word "Hitler" be in that topic but for example when Donald the convicted felon who is the president of a regime that just carried out a terrorist attack this morning against civilians in Yemen talks about bitcoin we don't see the same level of worrying or even terms like "Hitler" be used about him

[asriloni]

It's never been surprised for me to hear that. It's not only Russia, but all of parties who get economic sanctions may be also using as well i.e North Korean. I remember when Putin outlaw Bitcoin a few years ago, and he's changing his mind now.

It seems to me they can use Bitcoin to avoid the sanction, but there are no much free spaces available for them. I wonder what's Putin's motive to tell public if his country used bitcoin.

[cryptosize]

It doesn't. That was the plan from the get-go.

It's alternative to BRICS. Using that for foreign trade encourages everyone else to do the same, and abandon BRICS. Why would that be in the plan from the get-go?

There is no conflict here. Bitcoin is still too small and too volatile to be used as the replacement for the Dollar (SWIFT, etc.). The replacement that BRICS will introduce should have stability and provide control to member governments for it to be a viable option.

BRICS is also not just a payment system, it is far more than that... It can even be called a bloc...

I agree with most things you've said, but keep in mind BTC will be a lot less volatile when it reaches 7 digits.

A common China/Russia announcement in behalf of BRICs could push it up there...

And yes, BRICs is a bloc (like EU/USSR), not a currency. What they want is an independent currency that nobody will be able to control.

So no, they won't create a new currency from scratch, because nothing can beat BTC.

Russia wants to use Bitcoin against USD but it's funny because in the end, Bitcoin's value is calculated in USD.

It's not funny, because currently (2024) USD is still the global reserve currency.

Will that still be the case in 2027-2030? I strongly doubt it.

As soon as China invades Taiwan and TSMC is destroyed (Apple/nVidia/AMD/Intel can kiss their supply chain goodbye!), the USD will be hyperinflated to oblivion. Tech stocks (NASDAQ) will melt overnight like a hot knife passing through butter.

Mark my words: Russia will ask for BTC payments to sell you wheat/oil/gas. What will EU do then? Will they freeze/starve to death?

[pooya87]

And yes, BRICs is a bloc (like EU/USSR), not a currency. What they want is an independent currency that nobody will be able to control.

That's not entirely correct though. They want to create a new payment system that the US regime can not control, censor, sanction and turn into a weapon against everyone. They do want control.

In fact one of the reasons why development of BRICS currency is slow and we barely saw BRICS-Pay recently, is because each member wants to push their own fiat, specifically China and Russia. In that sense there is no difference between them and US. Like China that wants to push Yuan and replace US and in a couple of years they turn Yuan into a weapon against others just like US did with the dollar!

So no, they won't create a new currency from scratch, because nothing can beat BTC.

From our perspective, sure. But from the perspective of governments, not at all. They all hate bitcoin because they cannot control it, they can not print more of it, they can not censor its transactions, etc. So they will definitely create a new currency or maybe more of a new payment system from scratch so that they can control it!

[cryptosize]

They all hate bitcoin because they cannot control it, they can not print more of it, they can not censor its transactions, etc.

Quite the contrary!

When China wants to trade goods with Russia, they want a currency that cannot be inflated by printing more of it (that's why they won't accept rubles and vice versa).

They want BTC for government usage/international trade (i.e. China selling microchips to Russia and Russia selling wheat/oil/gas to China).

Using fiat for international trade is already problematic.

They do NOT want BTC to give it to citizens, which brings me to my next point...

So they will definitely create a new currency or maybe more of a new payment system from scratch so that they can control it!

Yes, they will create CBDC (digital ruble) for citizen usage inside Russia!

This will be a currency with way too many restrictions and it will NOT be accepted worldwide.

No CBDC (not even the digital dollar/euro) will have global acceptance/recognition.

Why? Because CBDC is meant to be restrictive (unlike BTC).

I hope that clears up the confusion.

TL;DR: BTC for governments, CBDC for the plebs.

[Woodie]

Ever since their sanctions happened, they seem to have been creative to get around this and when I read about their support for crypto coming from our Soviet friends ...I knew this was a bypass of the system and it works in their favour if you ask me and hope this won't negatively affect the markets bullish tread at the moment when the dots are connected by everyone else.

[Synchronice]

In fact one of the reasons why development of BRICS currency is slow and we barely saw BRICS-Pay recently, is because each member wants to push their own fiat, specifically China and Russia. In that sense there is no difference between them and US. Like China that wants to push Yuan and replace US and in a couple of years they turn Yuan into a weapon against others just like US did with the dollar!

Putin has an imperialistic ambitions, he want to make Russia great again, like it was in USSR but that's not possible, they lost and the west became strong. He can't accept this fact mentally, there is a constant battle in his mind. That's his problem. Russia has the potential to be a very rich country with high quality of life because they have so many resources but instead, all of these resources are wasted on military that brings only death and destruction.
If there is any powerful nation in BRICS, that's definitely China but I don't think China wants a bad relationship with the US.

Long story short, the USA is too powerful. The empire might fall but not soon. The USA is very smart in this game.

Mark my words: Russia will ask for BTC payments to sell you wheat/oil/gas. What will EU do then? Will they freeze/starve to death?

What if the West will share the highest percentage of Bitcoin hashrate and set censorship on transactions? What is Russia going to do about that? Also, what's the point of Bitcoin payments if the west will sanction every country that will make transaction in Bitcoin? Keep in mind that Bitcoin Blockchain analysis is only advancing.

[cryptosize]

but instead, all of these resources are wasted on military that brings only death and destruction.

Sounds like... NATO.

Remember those 2 trillion $$$ down the drain?

They could improve the US infrastructure and US citizens' lives, but no, the war was more important...

Long story short, the USA is too powerful. The empire might fall but not soon. The USA is very smart in this game.

Or maybe not:

https://www.youtube.com/watch?v=OuOcnGAv4oo

What if the West will share the highest percentage of Bitcoin hashrate and set censorship on transactions? What is Russia going to do about that?

The network is decentralized. Saying that a single entity ("the collective West") will control 90% of the hashrate is a pipe dream.

Even in that case, even if Russia controlled only 10% of the hashrate, there would still be 10% chance to include their transaction in the blockchain.

Also, don't forget that Russia has vast amounts of natural gas to feed ASICs.

The West on the other hand doesn't like gas, they prefer renewable energy, which doesn't offer 24/7/365 reliability.

Guess who's more likely to have the vast majority of the hashrate in the end?

Also, what's the point of Bitcoin payments if the west will sanction every country that will make transaction in Bitcoin? Keep in mind that Bitcoin Blockchain analysis is only advancing.

There are ways to hide traces, especially if you own miners.

[BlackHatCoiner]

In fact one of the reasons why development of BRICS currency is slow and we barely saw BRICS-Pay recently, is because each member wants to push their own fiat, specifically China and Russia.

This is what I understand as well. These nations want to de-dollarize themselves, I get it. But, they definitely want their fiat currency to take its place. If one of the BRICS countries had to impose the new fiat currency standard, it would probably be China, and I'm thinking they'll use everything in their disposal to accomplish it, and they won't just give up to bitcoin.

TL;DR: BTC for governments, CBDC for the plebs.

This does make some sense, but on the other hand, the overwhelming advantage of the fiat currency is to be able to rob the wealth of other countries. If you're limited to only your own country, the gains are significantly reduced.

[cryptosize]

But, they definitely want their fiat currency to take its place. If one of the BRICS countries had to impose the new fiat currency standard, it would probably be China, and I'm thinking they'll use everything in their disposal to accomplish it, and they won't just give up to bitcoin.

They don't want that. Fiat as a global reserve currency is a historical anomaly. Gold had that role for thousands of years.

We're going back to the Gold Standard, only with a digital twist this time around. History will repeat itself.

Countries with big BTC reserves will claim that their CBDC is more "valuable" vs others. You've heard this here first.

Also, China is not like USA.

USA imposed the dollar not just by force/military violence, but also via entertainment/cultural warfare (Hollywood movies describing the "American dream" and even cartoons depicting greenbacks -> they try to brainwash impressionable little kids and they're pretty good at it judging by this forum)!

China has nothing like that culturally (and besides that, most people don't speak Chinese), so you can forget the yuan conquering the world.

This does make some sense, but on the other hand, the overwhelming advantage of the fiat currency is to be able to rob the wealth of other countries. If you're limited to only your own country, the gains are significantly reduced.

They don't need to rob anything when they have valuable resources to trade.

Russia has wheat/oil/gas.

China has electronics and in-house microchips (not as advanced as TSMC's so far, but you can imagine what will happen after Taiwan's invasion -> they just want to reverse-engineer ASML's EUV machines).

Imagine if the collective West sanctions/bans Made in China electronics... imagine an nVidia GPU skyrocketing from $500 to $10000 in a single day due to scarcity!

People will remember the 2013/2017/2021 GPU mining craze as something insignificant compared to what's coming next.

I definitely expect the West to shoot themselves in the foot once again -> hyperinflation kicking in -> no more fiat/cash -> welcome CBDC.

[PrivacyG]

I wonder how this ends.

Could it lead to Europe or The United States obliging all local Miners to block Transactions coming from the known Russian Addresses?  Or will they let Bitcoin be, which I really doubt?

This could in turn cause Russia to strongly invest in Mining so that they do not rely on foreign Miners.  But what if, in turn, Europe considers a Bitcoin ban due to avoidance of sanctions?

Remember.  We have never had such history except when we heard of North Korea using Bitcoin for multiple criminal use cases.  So this could bring a lot of new questions, potential solutions and question marks above Bitcoin to the table.

I believe it will cause a little bit of turmoil around Bitcoin now that this is official.  We all know how keen on Governments are about sanctions and they never play around with them.  Therefore, this is probably going to develop in an interesting way for us.

[pooya87]

When China wants to trade goods with Russia, they want a currency that cannot be inflated by printing more of it (that's why they won't accept rubles and vice versa).

They want BTC for government usage/international trade (i.e. China selling microchips to Russia and Russia selling wheat/oil/gas to China).

That would have been true if China and Russia haven't been trading using Yuan over the past couple of years.

Yes, they will create CBDC (digital ruble) for citizen usage inside Russia!
This will be a currency with way too many restrictions and it will NOT be accepted worldwide.
No CBDC (not even the digital dollar/euro) will have global acceptance/recognition.
Why? Because CBDC is meant to be restrictive (unlike BTC).

That is one approach but you are forgetting that CBDC can also be flexible. There can be a fixed "swap" rate for different CBDCs which can be agreed upon between different nations. Then they can easily trade with each using their own CBDC.

Trump has an imperialistic ambitions, he want to make America great again, like it was in 1990's USA but that's not possible, they lost and the East became strong. He can't accept this fact mentally, there is a constant battle in his mind. That's his problem. USA has the potential to be a very rich country with high quality of life because they have so many resources but instead, all of these resources are wasted on military that brings only death and destruction.

That's not specific to Russia. With my edits in your comment, all your statements are still true!

After all the $12 trillion US regime wasted on wars for 20+ years, all which they lost is coming back to bite them in the behind...

[kotajikikox]

Well bravo. Raises a few questions I think.

Will Putin's btc team signup on bitcointalk?

love hearing this directly from Putin if they are truly into having an account here and surely , will add flavor for the bitcointalk community lol.

Will this mean that btc as a whole will get tagged as 'backed by russia'?

if the US are also  relying in Bitcoin then they will be tagged as well?

Does that mean oil will now be tagged to BTC like 0.0004 BTC to the Barrel to generate more revenue as the coin goes up?

even if not , still OIL and BTC will surely soon be together .

[FanEagle]

This could very well work for them, they used to be quite anti-bitcoin, I remember times when they caused problems with users as well, so the fact that they started to like it more and more because of sanctions shows another benefit of bitcoin, to certain nations.

I believe we could make a good return from this if we could see Russia use bitcoin too much, that would require them or whoever they make a deal with to get a lot of bitcoin, in billions, which could make it so that bitcoin could grow in price thanks to this. I do not know if they started already, maybe this big increase had something to do with Russia, or maybe it was just Trump, or maybe it was pure bull run after halving that we always have.

Those are all very possible reasons and I believe that we are going to end up with some good changes, it is going to end up with something that will take some time, so we need to consider how things could change, we are going to end up with something profiting for us, and that's all that matters.

[TheUltraElite]

Bitcoin can be used without any restrictions or censorship - this only proves that.

With Russia in the line to allow this, I am sure other countries will follow suit and the USA might be willing to lead the revolution. If that happens almost every country out there will be allowing bitcoin and it will become mainstream.

However when Russia invaded Ukraine, a lot of problems happened with credit cards and international students were using bitcoin through Tinkoff Bank to pay their expenses from money sent from their homeland.

It seems bitcoin is actually solving a lot of problems like this.