Bitcoin operates in two distinct ways globally: through real oil trade in Russia and investments in the US. This article explores how it may impact the global economy.
How Russia Uses Bitcoin to Sell Oil
Russian oil companies use Bitcoin and other cryptocurrencies like Ethereum and Tether to trade with China and India, bypassing sanctions. Buyers pay in yuan or rupees, which are then converted into cryptocurrency and finally into rubles. This strategy supports Russia's $192 billion oil industry despite Western restrictions.
US Bitcoin ETFs Lose Money
In the US, Bitcoin ETFs lost $870 million in the last week despite the cryptocurrency's high price of around $85,000. Investors are concerned over economic issues and global events, leading to reduced investment.
How Bitcoin Connects These Stories
The situations in Russia and the US might seem unrelated, but Bitcoin links them: in Russia, it solves practical issues, while in the US, it's seen as a risky investment. These stories highlight Bitcoin's dual nature: a useful tool for global trade and an unpredictable investment vehicle.
Observations on Bitcoin's use in Russia and investments in the US highlight its dual role in the global economy. The impact on geopolitics and finance is growing, with Bitcoin's future role becoming critically important.
