The adoption of cryptocurrencies provides a number of countries the opportunity to free themselves from the hegemony of the major financial institutions, which for decades dictated its rules in the trade practices.
As OPEC continues to index the price of oil in dollars by the United States sanctiion impeding trade in some resource-rich oil countries.
Following in the footsteps of Venezuela, Russia and Iran should consider the possibility to use cryptocurrency as an alternative to the dollar.
PVM Oil Associates analyst Stephen Brennok noted in a published study CNBC that the cryptocurrency is a way to break with the dollar.
“The use of digital currencies can be the incentive for producing countries to abandon the U.S. dollar as means of payment for transactions with oil.”
Oil heavyweights have long been looking for ways to abandon the dollar. China, Russia and Iran intend to agree on a currency swap to abandon the dollar in oil trade, at the same time, China, for the same purpose, working on the agreement with Venezuela on trade in nefteyuani.
The likelihood that these countries will trade in their Fiat currencies high, but it would be wise to consider to trade Bitcoin or other cryptocurrencies.
Cryptocurrencies are versatile and easy to convert to Fiat. But most importantly — they are anonymous and decentralized. The use of crypto-currencies will reduce the effect of the U.S. economic sanctions for countries such as Russia, Iran and Venezuela.