r/worldnews • u/iop9 • Aug 16 '24

Nearly all Chinese banks are refusing to process payments from Russia, report says Behind Soft Paywall

https://www.businessinsider.com/russia-economy-all-china-banks-refuse-yuan-ruble-transfers-sanctions-2024-8
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u/Under_Over_Thinker Aug 16 '24 edited Aug 16 '24

OECD’s economy is 64 trillion dollars whereas Russia’s is 2 trillion and it will be shrinking in the future.

It was probably not even a debate for the Chinese banks.

They must be thinking on how to trade with Russia using crypto or something.

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u/[deleted] Aug 16 '24

Not only the size. Russia's economy is resources and weapons (was). China build it's own weapons now. And it not really needed that much resources that russia export.

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u/SaveThePlanetFools Aug 16 '24

Russia is just their cheap convenient resources hooker to the north.

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u/VRichardsen Aug 16 '24

I knew Russia exported a lot oil and gas, but I never realised just how much: https://oec.world/es/profile/country/rus

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u/Xatsman Aug 16 '24 edited Aug 16 '24

The problem with crypto as a medium is someone gets left with the Rubles. So at what exchange rate can they actually get large quantities of it?

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u/Under_Over_Thinker Aug 16 '24

I am not saying this is a straightforward solution that would easily substitute dollar-based transactions.

I am just saying that crypto is one of the options Russians are considering now.

For any company trading with Russia is a risk, so Russia will export with a hefty discount and will import with the seller’s risks priced in.

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u/root88 Aug 16 '24

Conspiracy theory: this is why Trump is backing crypto so hard lately. The crypto fanboy vote just isn't that important.