Never poke a bear as you know what will happen next.
What did everyone expect with Ukraine negotiating wanting to join NATO and Ukraine knew exactly what the consequences would be. This was never going to happen basically allowing America to stick a base on Russia's border as that was where this was heading. Would America allow the Russians to stick a military base on the Mexican/ US border? Obviously not so why would anyone expect a different outcome here.
I read up some of the sanctions being imposed on Russia by the UK and waiting to see what other countries add to their party list. Banking was a major one and an obvious one which will no doubt have some serious repercussions for those living in Russia. Things just become that much more expensive unless they have devised a plan to bypass the banking system.
The timing a few weeks ago by the Russian Government to legislate crypto currencies as an investment and not a currency may have to be reassessed. The central Russian banks who opposed legislating crypto have been placed on a sanction list basically blocking their day to day business outside of Russian borders. This surely is the best use case scenario for crypto when sanctions are in place and will be a worry for the other countries around the world. This could literally put Bitcoin and crypto firmly on the map as preventing Russia from sending crypto for trading purposes or payments is not gong to be that easy.
We have seen how behind Government's are in trying to regulate crypto as loop holes and work arounds is what this disruptive technology does best. Crypto cannot be neatly packaged in a box and kept under lock and key as by the time you have placed it in the box the rules have already changed. Whatever the institutions are planning to prevent they cannot as they know it themselves as delays is what they are after.
The Northern Sea Route is a plus for the Russians as they have a gateway to the market place namely being China for their natural resources. Putin was obviously planning this long ago and why the need for speed and pushing for a 365 day usage when it seemed madness. LNG exports have been agreed with supplying India and they are close trade buddies now. India is building ships for the Russian Arctic fleet and will India go along with the sanctions that will be coming over the next days and weeks?
Unfortunately the reality if oil goes up everything goes up as fuel is required for deliveries plus also packaging.
Europe has to tread carefully as the oil and gas they receive from Russia is what they require for daily usage. I can see Germany going along with some sanctions but sanctioning oil and gas which would be the right thing to do would put Europe into difficulty. Already today gas prices closed in on the 2014 price of $100 barrel. This means all my manufactured products will be going up again next month due to plastics being a by product of oil.
There are no winners from this scenario as everyone is going to feel the impact in their pockets. Maybe the only positive is for crypto but that is for selfish reasons only. I don't know where this will end up and if it will end amicably but the measures in place so far wouldn't stop anyone from continuing what they planned all along.
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Too bad the US is now an importer of Oil. I am old enough to remember when we exported oil. As natural gas the US just burns it off, as we are no longer allowed to export LNG. Dang, amazing how the world turns in a few short months?
Old enough remember? That was true only a few years ago.
This actually means it's not valuable which u believe they will need to think twice before taking such action because what I believe is that crypto is here to stay and everyone will welcome it impact it has to offer
With the travel season right around the corner for me I am not really looking forward to the possibility of sanctions. We have a lot of camping trips planned this summer and my truck isn't exactly easy on the MPG! I have a feeling the sanctions won't do much good, but it is a better solution than actual warfare.