China and Russia Use Bitcoin for Trade as U.S. Influence Wanes

Rising geopolitical tensions and tariffs from the Trump administration are prompting countries to reassess their dependence on the U.S. financial system.

A new report from investment management firm VanEck highlights how the U.S. ‘weaponization’ of trade and financial infrastructure is driving increased interest in neutral payment systems. Once viewed as theoretical, these systems are now being tested in real-world scenarios.

This has led to Bitcoin consistently emerging as a practical financial instrument, rather than just a speculative asset for countries looking to reduce their reliance on the U.S. dollar.

According to VanEck, China and Russia are leading this shift as they have settled certain energy trades using Bitcoin and other digital assets.

This news corroborates previous media reports indicating that Russian oil companies have used crypto to trade oil with China and India while seeking to circumvent Western sanctions.

Market analyst Jonathan Hammel explained that confidence in U.S. financial dominance began to erode in 2022 when the U.S. government froze Russian reserves and blocked access to dollar clearing systems. This decision, he argues, marked a turning point, accelerating global interest in alternative systems like Bitcoin.

– The U.S. government crossed the Rubicon in 2022 by seizing Russian assets in the Federal Reserves and blocking them in dollar transactions (Western banks, SWIFT, etc.). This has only exacerbated the flight from the dollar to alternative currencies/networks including Bitcoin. The trend will only accelerate with the current trade tensions – wrote Hammel.

Meanwhile, this shift is not limited to the largest economies in the world. Bolivia is considering using crypto for energy import payments, while French energy giant EDF is exploring Bitcoin mining to utilize excess electricity that would otherwise be exported to Germany.

Matthew Sigel from VanEck points to these examples as early indicators of Bitcoin’s growing role in global finance. The digital currency, he explains, is gaining traction in markets looking to minimize dollar exposure and manage financial frameworks led by the U.S.