Here's How Putin, Russia Could Use Bitcoin, Crypto To Bypass Sanctions

Things are bound to get ugly whenever a war breaks out. Regardless of how economically strong a country really is, you never can rule out the fact that the loss of lives, resources & infrastructure is inevitable in such a scenario. The war is currently in progress at the time of writing this blog and millions of people have already lost their loved ones, their resources, belonging, and most importantly, their sanity.

Despite a constant push for peace talks, Russia did not want to go easy on its adversary and continues to encroach upon the territory of Ukraine. What will it entail? Well, more bloodshed and warmongers can be happy about the decimation of their enemy. We have already witnessed the debilitating impact of the war on the Cryptocurrency Exchange industry which continues to bear the brunt of constantly falling prices. A host of western countries had already tried to stall the Russian attacks by imposing massive sanctions. However, it didn’t seem to do much of anything, rather it didn’t even flinch Russia and it still continued its tyrannical approach. 

Exclusion from a major consortium 

The SWIFT has already terminated Russia’s membership to impede its ability to finance the required arsenal for war. But will it be enough to stop this mammoth of a country that is quite abundant in resources itself? The answer is highly unlikely that Russia will stop wreaking havoc on Ukraine. 

With the constant sanctions being imposed on the country, Russia still seems to be unfazed by them and this is where the real trouble lies. It seems that the country was already prepared for it and is acting according to the premeditated plan. It explore the debilitating impact of war and how Russia can still evade the implications of detrimental sanctions. Europe and the US have already imposed the necessary sanctions on Russia, however, it is currently using cryptocurrency to evade a barrage of sanctions that are coming from all ends. It was being done to isolate and punish Moscow. Targeting Russia’s president Vladimir Putin & Sergei Lavrov (Minister of Foreign Affairs) and other prominent business personalities, sanctions might impede Russia’s ability but it will certainly not stop them from dismantling the entire working apparatus of Ukraine. 

Has Russia been crippled? 

Exclusion from the SWIFT system has already closed Russia’s ability to finance the war and such exclusion from a financial consortium displays how dire the situation has become. Global commerce has also been affected due to the war as prices continue to go steeper plunging a common man into a state of high anxiety. Russia is heavily relying on cryptocurrency at this stage and it seems to work out pretty well for the country so far. The economic turmoil in Ukraine is pretty evident as millions of people have already been rendered homeless. Cryptocurrency used to be an unchartered territory for Russia which has come into full action quite literally. 

What does Russia think of the crypto industry?

Russia was already on the verge of banning cryptocurrency in the country as Bitcoin was being constantly targeted. It was before the war and no one had anticipated that crypto will play a pivotal role for Russia in times of need to finance the war. Putin, unlike the government’s overall stand on cryptocurrency, was a mild proponent of cryptocurrency even before the war ever broke out. Matter of fact, he wanted to make crypto the mainstay of the financial ecosystem in the country which would work as an alternative to the existing traditional means of finance. Russia was also expected to figure out the loophole in the imposed sanctions from a host of countries. 

Analysts even believe that Russia might have already found out the loopholes in the imposed sanctions which is why they are able to continue to wreak havoc on Ukraine’s economy. It can also be attributed to the decentralized characteristics of cryptocurrency which is providing the necessary leeway to Russia to operate freely without feeling oppressed.