Russia's acquisition of Bitcoin skyrocketed by 15% due to Switzerland's expulsion

Bitcoin prices have soared by more than 14 percent due to the recent expulsion of the Russian International Bank Communications Association (SWIFT). As sanctions against Russia have been strengthened, Russia has acquired a large number of bitcoins to settle its existing payments with bitcoins.

According to Coin Market Cap, a virtual currency market website, Bitcoin rose 15 percent to 43,199 dollars at 9 a.m. from 24 hours ago. This is the first time since mid-June that Bitcoin has exceeded $43,000, up 16 percent from seven days ago.

In addition to Bitcoin, virtual currencies are also rising. Ethereum rose 12 percent to $2,937 compared to 24 hours ago, while BNB rose more than 10 percent. Terra's 27% rise attracted attention.

Some point out that the recent rise in virtual currency prices is closely related to Western sanctions against Russia. Prior to this, Western Europe, including the U.S., the European Union, and Canada, announced sanctions against Russia and Swift. Swift is the world's largest financial computer network used by more than 11,000 banks and financial institutions in 200 countries. If Russia is kicked out of Swift, it will not be able to settle the dollar and trade, and foreign exchange of $640 billion will not be free to use. Iran's trade volume has fallen by 30 percent since it was excluded from Swift in 2012.

With Russia's decision to expel Swift, Russians are buying Bitcoin and other products, and Ukraine, which has been paralyzed by the war, is also buying virtual currencies.

In fact, Russia's currency, the ruble, plunged 30 percent due to Western sanctions against Russia. The U.S. government has announced sanctions against virtual currencies, but Russia's demand for Bitcoin is expected to increase as Binance, the world's largest exchange, continues to allow Russian account transactions.

Among the methods of sanctions against virtual currencies are to ban virtual currency transactions requested by Russian users or to include the Russian Exchange itself in sanctions. However, some point out that it is difficult to prevent sanctions by avoiding one-on-one transactions through the exchange.

Choi Fine Blockchain Evangelist told E-Daily in a telephone conversation, "Western financial sanctions against Russia have highlighted the role of de-centralized Bitcoin," adding, "In the midst of war concerns, virtual assets are likely to fall with traditional assets, but the rate of increase is different. "Virtual assets are much faster."