Amid Trump’s tariff war, China and Russia resort to Bitcoin

Donald Trump added fuel to the fire by imposing an additional tariff of 104 % on China. This aggressive step rose to a global tariff war, and China has already hinted that it will not bow from Trump’s threats and extortion extortion.

According to The latest reportsRussia and China have turned into bitcoin and other cryptocurrencies to settle energy deals.

Matthew Siegel, head of digital asset research at VANECK, explained how the latest tariff ads affect bitcoin and digital assets. He also revealed that Bitcoin is now used by countries to settle their deals.

According to Sigel, the Trump tariff package targeting China and the European Union has restored global trade tensions and escalated the risk of disintegration of global financial systems. Now, seeing risks, countries are studying alternatives to settle their commercial transactions and turn into encrypted currencies.

“China and Russia have recently been discovered that they settled some energy transactions using bitcoin and other digital assets – as we expected,” Siegel said. He added that Bolivia also announced the use of cryptocurrencies in energy imports. Moreover, in Europe, the French EDF’s EDF Agency will use its surplus to extract bitcoin.

The situation highlights how the global perspective changes towards cryptocurrencies. Now everyone sees bitcoin currencies and cryptocurrencies as hedge tools and currency to settle their global trading. This was recently witnessed when the uncertainty arose in the global market, including Nasdak Dow declined greatly, but bitcoin settled and outperformed the shares indicating global demand.

However, most countries are still late as Trump has already accelerated its efforts to adopt encryption and Blockchain. Trump has already added Bitcoin and other digital assets to the strategic reserves of the United States, and he made a separate management of encryption and more. These efforts are planned strategically as if it were the dollar, then it will dominate encrypted currencies.

Also read: Bitcoin will be the winner of the tariff war: BitWise Cio