This paper studies the political economy of international payment systems, focusing on how trade sanctions, monetary restrictions, and payment systems shape the emergence of new payment infrastructure, global currency choices, trade flows, and geopolitical alignments. The findings highlight the strategic role of dominant currencies, the effectiveness of different sanctions, the complex trade-offs faced by the different parties as well as the potential for cryptocurrencies to challenge the status quo. The analysis provides insights into the ongoing shifts in global financial infrastructure and their broader economic implications.