In compliance with EU sanctions, crypto platforms Crypto.com and Blockchain.com started to stop or terminate Russian accounts. The moves follow the adoption of new European penalties in response to Moscow’s military escalation in Ukraine.
Large Crypto Platforms Adhere to EU Guidelines, Restrict Services for Russian Users Over Ukraine War
About a week after the European Union introduced another set of measures aimed at hurting Russia’s economy and finances, including its access to the crypto market, a number of service providers in the industry have taken steps to comply with the new requirements. In April, the bloc banned only high-value services, those for digital assets exceeding €10,000 in value ($11,000 at the time). Brussels prohibited all cryptocurrency-related services from Russian citizens and entities last Thursday regardless of their amount.
Forklog reports that Localbitcoins has told Russian citizens it cannot no longer provide its peer-to-peer services. A passport issued by any country in the European Economic Area is acceptable. This includes EU members plus Iceland, Liechtenstein, Norway and Switzerland.
The crypto news outlet also revealed that wallet operator Blockchain.com has sent out a notice informing customers that due to the EU sanctions, it’s unable to provide custodial and rewards services to Russian nationals. It has requested that affected customers withdraw their funds before Oct. 27, following which their accounts would be blocked.
The crypto news page of the leading Russian business portal RBC, which confirmed this development, also posted about Crypto.com’s decision to add Russia to its list of countries, the citizens of which cannot take advantage of its services. With more than 50,000,000 users claimed, the cryptocurrency exchange is now registered in Singapore. However, Crypto.com recently stated that it will be establishing a Paris-based regional headquarters.
Bitmex is another exchange which plans to place restrictions. Coinbase in America, which is based in the United States, stated that it follows all applicable laws and regulations. Other service providers in the crypto sector have done this, as well. Dapper Labs, for example, suspended its operations using non-fungible tokens. Revolut, the British fintech firm is currently not operating in Russia.
But not all global cryptocurrency platforms are compliant with the European standards. A recent report revealed that major cryptocurrency exchanges remain available for Russians. These include Huobi, which stated that it maintains stable trading for Russian users, FTX, which operates out of the island nation of Antigua and Barbuda, as well as the Seychelles-registered Okx, Kucoin, and Mexc Global. Exmo.me was still in Russia after the sale of its Russian business by Exmo.
Are you confident that other cryptocurrency platforms will comply with European sanctions against Russia Comment below.
Credits for the imageShutterstock. Pixabay. Wiki Commons
DisclaimerThis article serves informational purposes. This article is not intended to be a solicitation or offer to sell or buy any product, service, or company. Bitcoin.com doesn’t offer investment, tax or legal advice. This article does not contain any information, products, or advice that can be used to cause or alleged result in any kind of damage.