El Salvador Proposes Bitcoin Deal to Enhance Trade Relations with Russia

The Russian Central Bank has traditionally been against cryptoassets, but changing international circumstances are prompting a shift in their approach.

Recently, El Salvador proposed using cryptocurrency, particularly Bitcoin, to facilitate trade with Russia. This idea is part of El Salvador’s strategy to strengthen its economic relationship with Russia and enhance its geopolitical influence.

Alexander Ilyukhin, the first secretary of the Russian embassy in Nicaragua and the head of the office in El Salvador, shared details of this plan. He emphasized El Salvador’s innovative decision to make Bitcoin a legal currency.

“In El Salvador, tourists can use Bitcoin for various services. However, in Russia, Bitcoin isn’t widely accepted, so we are exploring alternative ways to boost trade. The Salvadoran government is committed to continuing economic collaboration with Russia,” Ilyukhin explained.

El Salvador has maintained a neutral stance on the Russia-Ukraine conflict, refusing to take sides. Although Ukrainian President Volodymyr Zelensky’s administration has sought support from El Salvador, their efforts have been unsuccessful so far.

Moreover, El Salvador is contemplating joining the BRICS economic group, which includes Brazil, Russia, India, China, and South Africa. BRICS is actively working towards reducing reliance on the US dollar and is considering cryptocurrencies as a viable alternative.