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Cryptocurrencies are becoming more than just speculative investments or trading tools; they are showing that they can be useful in real life.
Tether (USDT), the most popular stablecoin linked to the U.S. dollar, is now an important tool for international trade, especially in nations that are under economic sanctions.
In Venezuela, USDT is currently being used to buy and sell oil, which is a big change from being a speculative asset to a strategic financial tool on a national level. Along with comparable patterns in Russia and China, this shows how important stablecoins are becoming for making payments that don’t have to go through borders.
This article talks about how USDT is changing trade around the world, how it is being used in Venezuela’s oil business, and what this means for the cryptocurrency industry as a whole.
What USDT Does for Oil Deals in Venezuela
Venezuela, which is one of the biggest oil producers in the world, is using Tether’s USDT stablecoin to get over tight international sanctions that make it hard for the country to use regular banks.
In a conversation on the Román Lozinski program on September 3, 2025, Venezuelan economist Asdrubal Oliveros talked about how stablecoins are becoming more popular in the country’s economy. “The business world is more conservative and has set ways of doing things.
“However, this situation has changed in the last few months because Venezuela is now getting paid in USDT or similar assets because of its current oil sales strategy,” said Oliveros.
This change lets Venezuela avoid transactions in U.S. dollars, which are typically barred by U.S. government sanctions.
Oliveros said that the Venezuelan government sells USDT directly to service providers or businesses, trading the stablecoin for local currency (bolívars) to add dollar liquidity to the domestic market. This system lets firms get the foreign money they need without going through regular financial channels.
According to a Reuters investigation, this trend is also supported by the fact that state-owned banks handle USDT transactions and send them to a small number of pre-approved enterprises.
These companies get paid through digital wallets that the government has approved, which makes sure that the money is distributed in a controlled way.
The Venezuelan government hasn’t officially confirmed these activities, but insiders and market analysts say that USDT has been an important part of the country’s oil trade strategy since at least 2024, when the state-owned oil company PDVSA required that more than half of its crude shipment payments be made in stablecoins.
Using stablecoins to get past sanctions
Venezuela isn’t the only country that uses cryptocurrencies to get around sanctions. Russia and China are two more countries that have used digital assets for commerce with other countries.
For example, sources said that Russia and China used cryptocurrencies like USDT to buy oil in March 2025 when Russian banks were told they couldn’t make international payments. This pattern shows that stablecoins can be a decentralized, intermediary-free alternative to traditional banking systems, which are typically limited by politics.
Stablecoins like USDT have a consistent value linked to the U.S. dollar, which makes them great for transactions with a lot of money where price changes are a worry. USDT’s 1:1 peg makes it reliable for trade settlements, unlike volatile cryptocurrencies like Bitcoin and Ethereum.
This consistency has made it a popular alternative for businesses and countries who want to keep their cash flow steady and make payments across borders under strict rules.
How efficient and big crypto transactions are
Stablecoins have many benefits outside helping people avoid fines, such as being faster and more efficient. Blockchain networks make transactions almost quick and safe, getting rid of the delays and middlemen that come with regular banks. This kind of efficiency is especially useful for big transactions, like those in the oil business.
In October 2024, a stablecoin transaction made it possible to send 670,000 barrels of crude oil from the Middle East, worth about $45 million. This was a big deal. This agreement showed that cryptocurrency can handle more than just tiny payments; they can also handle big, complicated deals. The fact that these kinds of transactions work shows that stablecoins can be used in global trade, making them a good alternative to fiat-based systems.
Tether’s Problems with Compliance
Tether’s role in avoiding penalties has aroused worries, even though it is useful. Tether said in April 2024 that it will freeze wallets connected to people on the U.S. Office of Foreign Assets Control (OFAC) sanctions list. This was after accusations that Venezuela’s PDVSA was using USDT to export oil. A spokeswoman for Tether said, “Tether respects the OFAC SDN list and is committed to making sure that sanction addresses are frozen quickly.” This position puts stablecoins’ decentralized character at odds with the regulatory restrictions that issuers face.
People are also worried about accountability because Venezuela’s USDT transactions go through state-controlled banks and wallets, which don’t make things clear. The system depends a lot on insider reporting because the government hasn’t officially recognized it. This could make it more likely to be mismanaged or come under regulatory attention.
Wider Effects on the Use of Cryptocurrencies
The use of USDT in Venezuela’s oil trade and other comparable uses throughout the world shows that cryptocurrencies are becoming more mature. Stablecoins are no longer merely things to buy and sell or gamble on; they are becoming a necessary part of global trade.
Governments and businesses who are having trouble with their economies like them because they make it easy to make safe, cheap transactions across borders.
This change is also in line with bigger trends in the bitcoin sector. For example, Singapore saw a record $1 billion in stablecoin payments in 2024, which shows how well accepted they are becoming in mainstream finance.
As more firms and governments see how well blockchain-based payments work, the use of stablecoins is likely to grow quickly, which might change the way trade works throughout the world.
But there are still problems. Regulatory scrutiny, especially when it comes to avoiding sanctions, could make it harder for stablecoin issuers like Tether to do business. Also, the fact that people in Venezuela have to use certified digital wallets and the government keeps an eye on them makes people worry about centralization, which goes against the decentralized nature of cryptocurrencies. To make sure that stablecoin usage keeps growing, these problems will need to be fixed.
Conclusion
Tether’s USDT has become an important tool for international trade, especially in places that are under sanctions, like Venezuela, where it helps with oil transactions and adds liquidity to local markets.
USDT is showing its worth beyond speculation by providing a stable, efficient, and borderless payment mechanism that can handle everything from modest payments to multimillion-dollar oil agreements. But using it to get around sanctions raises regulatory issues, as shown by Tether’s promise to freeze sanctioned wallets.
As cryptocurrencies continue to connect traditional banking with decentralized systems, they will play a bigger role in global trade. This will create new opportunities, but it will also be hard to navigate complex regulatory environments. This change shows how stablecoins could change the way businesses and investors work in a world where the economy is always shifting.
