Moscow-based logistics company ETE Group has petitioned Russian Prime Minister Mikhail Mishustin to develop comprehensive regulations that would officially legalize cryptocurrency payments for international trade. According to Gazeta.ru, the firm’s request specifically asks the government to “develop a regulatory framework for settlements with foreign suppliers in digital currencies, including cryptocurrency” and implement necessary changes to Russia’s Civil and Tax Codes, as well as other relevant regulatory frameworks including federal currency control laws. This move comes as Russian businesses face increasing payment difficulties due to Western sanctions that have cut many Russian banks off from the SWIFT network and restricted dollar-based transactions.
ETE Group, which serves nearly 500 corporate clients and specializes in cargo shipments to China, India, Türkiye, and Southeast Asian nations, reported that business sector interest in making crypto payments abroad increased by 40% in 2024. The company highlighted that while Russian firms are technically “allowed to make international payments in cryptocurrency,” the lack of clear regulatory guidelines creates significant legal and financial risks. The logistics firm emphasized that standard cross-border payments between Russia and China now face delays ranging “from five days to several months,” with similar obstacles affecting Russia-Kazakhstan transactions, which typically require “at least two to three weeks” to complete. ETE noted that these delays worsen “with each new sanctions package.”
Since the outbreak of war in Ukraine in February 2022, Russian companies have increasingly turned to cryptocurrency as an alternative payment method to circumvent sanctions. Currently, Russian trade firms must officially use the Central Bank’s sandbox program to conduct cross-border crypto transactions, though many companies are believed to operate outside this framework with tacit government approval. With the European Union currently drafting its 17th sanctions package and the United States discussing additional “sanctions pressure,” more Russian businesses are seeking dollar-free trade alternatives. ETE’s request highlights a growing economic necessity, as the firm pointed out that even “municipal institutions” in China are now under American sanctions scrutiny, warning that “the slightest suspicion of a payer’s connection with Russia” can result in payment rejections. The investment firm VanEck recently claimed it had uncovered evidence that Russia and China are already using itcoin">Bitcoin to settle energy trade payments, suggesting that informal crypto-based trade relationships are developing even in the absence of formal regulation.
