As Sanctions Intensify, Russia Considers Accepting Bitcoin Payment For Its Oil And Gas

KEY POINTS

Russia seems to be serious about moving away from the dollar
President Putin has changed his stance on Bitcoin
Energy reserves will be converted to hard assets

Russia has signaled that it might start accepting payment in Bitcoin for its oil and gas exports. This comes as the country is faced with increasing sanctions from the western countries over Russia's invasion of Ukraine.

In a news conference held Thursday, Pavel Zavalny, the chair of Russia’s Duma Committee on energy, said the country is willing to be more flexible with payment options when it comes to friendly nations like China and Turkey.

Zavalny said the national fiat currency of the buyer and top crypto Bitcoin were being considered as alternative ways to pay for Russia’s energy exports.

Bitcoin was trading at $44,075, 2.27 percent higher, as of 1.47 a.m. ET, CoinMarketCap data showed.

President Vladimir Putin on Wednesday said Russia wants "unfriendly countries" to pay for Russian natural gas in rubles. The energy chair reiterated President Putin’s promise.

“If they want to buy, let them pay either in hard currency, and this is gold for us, or pay as it is convenient for us, this is the national currency,” Zavalny said.

Zalvany's statement implies that Russia is getting serious about moving away from the dollar. The country has also declared it could potentially convert energy reserves into hard assets that could be used outside the dollar system.

President Putin changed his stance on Bitcoin under the pressure of sanctions from the west.