Belarus President Urges Banks to Turn to Crypto Amid Western Sanctions

Alexander Lukashenko, the President of Belarus, has the country’s banks to expand their use of cryptocurrencies to assist the economy mitigate the effects of Western sanctions. Lukashenko views digital tokens as a crucial means to sustain international trade and finance amid the country’s challenges, including declining exports and limited access to global financial systems.

Sanctions Cause Economic hardys

The European Union and the United States have imposed sanctions on Belarus for the past five years because it supported actions in Ukraine. These have caused the country’s economy to face hardys it has never encountered before, severely damaging the country’s export industry and prompting businesses to viewk alternative means of payment.

Lukashenko acknowledged that these limits were harming the country’s economy and banking sector, and he called for immediate action to address them.

Crypto As a Fix

Lukashenko emphasized the need to increase the use of digital tokens in a recent meeting with the heads of Belarus’ central and commercial banks. He said that cryptocurrency-based transactions are at an all-time high, with $1.7 billion in external payments made through in the first seven months of 2025. 

Experts believe this number could reach $3 billion by the end of the year, thanks to companies like , OKX, and KuCoin operating in Belarus. Cryptocurrencies are a viable means of circumventing sanctions, as they are decentralized and anonymous. They enable people to conduct business across borders without relying on traditional financial institutions.

Push for Regulation and Digital Innovation

Lukashenko has also emphasized the importance of having clear rules for the expanding cryptocurrency sector. A few days before instructing banks on their actions, he urged lawmakers to establish clear laws to ensure the sector is well-regulated. 

He also advocated for the adoption of digital payment methods, such as QR codes and instant payment infrastructure, to simplify financial transactions. The goal of these steps is to make things more efficient and less dependent on intermediaries by utilizing technology, such as smart contracts, to automate transactions.

Growing Crypto Adoption

There are a lot more people in Belarus using cryptocurrencies now. By 2026, there will be more than 855,000 users, approximately 10% of the population. This growth underscores the growing significance of digital currencies in the country’s economy. Lukashenko’s proactive posture builds on past efforts, such as the 2017 Digital Economy Decree, which made Belarus a crypto-friendly hub by offering tax breaks and the Hi-Tech Park framework.

Western sanctions continue to harm ‘ economy; therefore, President Lukashenko is advocating for the use of cryptocurrencies, which suggests a shift toward digital answers. Belarus aims to maintain its financial independence and preserve its ability to trade with other countries by promoting the use of cryptocurrencies and clarifying regulations.