Although the measure cannot be interpreted as a ruling or an official position of the Chinese government, the fact is that it is part of the sanctions recently imposed by several countries on Russia. The question remains as to whether this whole situation influences the perspective that the Russian authorities have on cryptocurrencies, and that as decentralized decentralization refers to the property of a system in which nodes or actors work in concert in a distributed fashion to achieve a common goal. tools and without third-party control they could serve as a line of financing in these times.
Two of China’s largest state-owned banks opted to restrict financing for the purchase of raw materials from Russia, a move that seems to add somewhat to the list of sanctions imposed by various international bodies, governments and entities.
Bancos chinos suspenden financiamiento a empresas rusas
The institutions concerned are the Banco Industrial y Comercial de China (Industrial & Commercial Bank of China) y Bank of China which stopped issuing letters of credit denominated in currencies such as the U.S. dollar for the purchase of Russian physical goods for export. The information came from sources familiar with the matter, which indicated that in currencies such as the yuan are still available, provided it has the approval of senior executives.
Vale destacar que la medida tomada por las entidades bancarias no está enmarcada en una postura oficial del gobierno de China hacia Rusia por las acciones bélicas emprendidas contra Ucrania, aunque roza los límites de la promesa originalmente hecha por el gigante asiático a la nación soviética.
Consider that in the last 24 hours tensions have escalated to new levels, as Russian troops are cordoning off the Ukrainian capital capital is most commonly defined as the large sum of money you would use to invest. and President Vladimir Putin is inviting the country’s armed forces to stage an insurrection against the government headed by Volodymir Zelensky.
Sources with knowledge of the case do not detail the nature of the measures taken by local banks, nor do they have information on whether this will be temporary. It is also unclear whether the banks have suspended other forms of financing for Russian companies and/or residents, or whether they plan to implement further measures in light of the current situation.
Readings to this measure
On the measure, although for the moment there are no official statements and/or declarations, some analysts have already presented their associated readings.
In this regard, the foreign legal consultant of Hogal Lovells en Hong Kong, Ben Kostrzewa, comentó:
“Chinese financial institutions take sanctions compliance seriously. They don’t want to be sanctioned themselves, they can’t lose access to US dollar transactions, so they will have to think about it very seriously, whatever the geopolitical impact.”
Let’s keep in mind that yesterday British Prime Minister Boris Johnson and US President Joe Biden announced new sanctions against Russia due to the events perpetrated on Ukrainian territory, among which stands out the freezing of assets in their respective territories to major Russian banks, which leaves without a good margin of liquidity how easily a cryptocurrency can be bought and sold without impacting the overall market price. to these institutions to finance the government in case of needing funds.
Another thing to take into account an account is essentially a whose purpose is to track the financial activities of a specific asset/ is China’s position in the face of this armed conflict. On the one hand, there is the promise to support the opposite of Resistance, it is a threshold that crypto’s price doesn’t fall below. Russia, but on the other hand, there is the possibility of coming into conflict with Europe and the US, its main trading partners.
Cryptocurrencies as a useful medium for everyone
Against this backdrop, there is once again the question of the role that cryptocurrencies could play in the midst of this whole situation.
As we have been reporting in previous posts, many analysts and enthusiasts have highlighted the usefulness of cryptocurrencies as Bitcoin to support the Ukrainian government and troops in the midst of the conflict in the country, precisely because it functions as a tool to transfer value in a decentralized manner and without third-party control.
However, it is also worth considering that in recent weeks the Russian government has been trying to legally address a place where cryptocurrency can be sent to and from, in the form of a string of letters and numbers. digital digital technologies are these electronic tools that have the ability to generate, store or even process data. currencies, precisely to explore possibilities that would be beneficial for the country. The door remains open to see if this topic gains gains refer to an increase in value or profit. much more local relevance to become a regulated regulation is when something is controlled by a specific set of rules. funding mechanism for the government at this particular point in time.
For its part, despite the armed conflict, Bitcoin the biggest and most popular cryptocurrency in the world. It is a decentralized digital currency that enables users to make trustless peer-to-peer transactions. and the main cryptocurrencies seem to react in a good way, as they recovered from the fall seen last February 23rd after the beginning of the war incursion on Ukrainian territory.
- Bitcoin trading in Ukraine soars 300% as conflict with Russia escalates
- Russia could confiscate people’s savings if sanctions are tightened, Russian MP warns
- US freezes assets belonging to major Russian banks. Bitcoin and major altcoins recovering in price
Version by Angel Di Matteo / DiarioBitcoin
Imagen de Unsplash