Russia is reportedly utilizing cryptocurrency and stablecoins in its oil trade with China and India to skirt sanctions from Western countries. Russia publicly encouraged the use of cryptocurrencies and passed a law allowing digital currencies last year.

The U.S. Treasury confirmed the expiration of a license allowing the wind-down of energy transactions with Russian financial institutions. The license, known as General License 8L, ended as part of sanctions imposed in the final days of Joe Biden's presidency.

The stiffer restrictions come as the Trump administration is trying to convince Russia to accept terms of a proposed 30-day ceasefire.