News

US sanctions against Russia cover cryptocurrency exchanges

The US Treasury Department has announced that US sanctions against Russia will include control of cryptocurrencies starting March 1.

US sanctions against Russia include crypto exchanges

Deputy Prime Minister of Ukraine Mykhailo Fedorov recently called on cryptocurrency exchanges to conduct procedures to freeze Russian user accounts. However, this call met with mixed opinions. A negative response came from the CEOs of Kraken, Binance, and Coinbase.

Kraken CEO Jesse Powell responded to Fedorov’s tweet, saying that “it is not possible to close a Russian user’s account without a legal request.

A Binance representative told Reuters that the exchange will not “unilaterally suspend the accounts of millions of innocent users” because “cryptocurrency aims to bring financial freedom to people worldwide.”

Coinbase “will not introduce a blanket ban on all Coinbase transactions with addresses in Russia,” despite a request from a Ukrainian government official.

Now the US Treasury has placed crypto exchanges under sanctions against Russia. The White House has also sanctioned major crypto exchanges.

The US Treasury Department said the latest sanctions against Russia will include controls on digital currencies starting March 1.

In an executive order due to be officially issued later in the day, the government notes that it will crack down on anyone flouting sanctions against Russia, including using cryptocurrencies. As Bloomberg reports, the White House wants major crypto exchanges to ensure they are not used to circumvent Russian sanctions.

The move comes after speculation surfaced that Russia could use crypto assets to circumvent US sanctions. The US and its allies also froze assets abroad last week by removing some Russian banks from the SWIFT messaging and payments network. This has hurt Russia’s economic growth and made it less accessible to foreign currencies that would otherwise have further isolated the country. The new sanctions move was in retaliation for Russia’s invasion of Ukraine. But the sanctions have sparked widespread conflict in and around the Ukrainian capital, Kyiv.

Sanctions on Russia are fueling growth in crypto trading

Cryptocurrency trading volume in Russia has skyrocketed following restrictions, while the ruble has fallen against bitcoin and many other tokens. As domestic inflation has risen, the Russian people have turned to other alternatives. In Ukraine, people have started using bitcoin and stablecoins after hryvnia cryptocurrency remittances dropped.

Russia’s crypto adoption has been pretty solid, accounting for around 12% of the global market. This also fuels speculation that cryptocurrencies are a possible way to avoid sanctions. Ukrainian banks have urged major exchanges to completely block Russian users in this regard. However, the move drew criticism from the community for being politically neutral and contradicting the cryptocurrency’s DeFi nature.

Join CoinCu Telegram to keep track of news: https://t.me/coincunews

Follow CoinCu Youtube Channel | Follow CoinCu Facebook page

Important NOTE: All content on the website is for informational purposes only and in no way constitutes investment advice. Your money, the choice is yours.

Annie

Championing positive change through finance, I've dedicated over eight years to sustainability and environmental journalism. My passion lies in uncovering companies that make a real difference in the world and guiding investors towards them. My expertise lies in navigating the world of sustainable investing, analyzing ESG (Environmental, Social, and Governance) criteria, and exploring the exciting field of impact investing. "Invest in a better future," I often say. That's the driving force behind my work at Coincu – to empower readers with knowledge and insights to make investment decisions that create a positive impact.

Recent Posts

Qubetics Presale Price Surge Approaches: The Best Coins to Invest in Right Now While Toncoin, and XRP Gain Traction

Discover why Qubetics, Toncoin, and XRP are the best coins to invest in right now.…

27 minutes ago

Book of Meme Old News? This Best Meme Coin to Invest in 2024 Is Multiplying Gains Like a Champ

Over the years, meme coins have evolved from inside jokes into serious investment opportunities.

1 hour ago

Time’s Ticking on BlockDAG’s 5-Tier Bonus- Few Days Left to Grab It While Cardano Whales Take Action, Aave Rallies Strong

Discover BlockDAG's five-tier bonus program's closing phases that enhance buyer holdings. Gain insights on the…

2 hours ago

Best Altcoins to Buy for 2025: Qubetics Presale Surge, Solana’s Lightning Speed, and Cardano’s Blockchain Revolution

Discover why Qubetics, Solana, and Cardano are redefining the crypto landscape. Learn about milestones, price…

3 hours ago

Why Qubetics, NEAR Protocol, and IMX Are Dominating Crypto: The Best Altcoins to Join Today for Game-Changing Returns 

Discover why Qubetics, NEAR Protocol, and Immutable X are the best altcoins to join today,…

5 hours ago

Bonk’s ICO Was Just the Start: Why BTFD Coin’s Stage 7 Price Rollback Is Your Second Shot at Crypto Glory

BTFD Coin is offering a chance to relive the glory days of meme coin investing,…

6 hours ago

This website uses cookies.