Belarus Pushes Banks to Expand Cryptocurrency Use Amid Sanctions

Lukashenko urges financial sector to embrace digital assets as external payments rise

Belarus President Alexander Lukashenko has called on the country’s banks to increase their use of cryptocurrencies, citing the growing pressure of Western sanctions on the economy. The directive, delivered at a high-level meeting with central and commercial bank leaders, highlights a dramatic shift in Minsk’s financial strategy.

“Over the past five years, the national economy, and with it the Belarusian banking sector, have faced unprecedented challenges. The government and the National Bank have been given corresponding instructions. Now, act,” Lukashenko said, according to the state-run Belarusian Telegraph Agency.

$3 Billion in Crypto Payments Projected

The president revealed that external payments processed through Belarusian crypto exchanges reached $1.7 billion in just the first seven months of this year. He added that the figure could climb to $3 billion by year-end, nearly doubling previous levels.

“Today, cryptocurrency-based transactions are more active than ever, and their role in facilitating payments is growing,” Lukashenko noted.

According to Statista projections, the number of crypto users in Belarus is expected to surpass 855,000 by 2026, representing nearly 10% of the population.

Digitalization Strategy Beyond Crypto

Lukashenko also urged banks to adopt digital payment systems, expand QR code-based transactions, and launch an instant payment network before the end of the year. VTB Bank Belarus, a Russian state-owned lender, has already introduced QR code payments linked to the ERIP national system.

The president further emphasized that Belarus’s digital strategy should prioritize biometric technologies, establish a domestic IT company to reduce foreign reliance, and adopt AI-based solutions. “Banks must try to make the most of modern technology. Digitalization is not an end in itself; it must deliver tangible economic results,” he said.

Mixed Track Record on Crypto

Belarus has taken a fluctuating stance on digital assets. While crypto transactions were legalized in 2018, the government has periodically sought to restrict peer-to-peer trading. Last year, Lukashenko also promoted developing a domestic crypto mining industry to leverage the country’s energy surplus.

Still, the latest directive reflects a clear push to integrate cryptocurrencies into mainstream banking, especially as sanctions squeeze traditional financial channels.

Disclaimer

This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.