EU and US try to make sure Russia can’t use cryptocurrencies to avoid sanctions

He said the sanctions against Russia were very effective and disrupted Russia’s financial system and crippled its central bank’s ability to protect the country’s currency, the rouble.

Trading volumes between the cryptocurrency Tether and the ruble were reported to have increased earlier this week after the value of the Russian currency plunged following the sanctions.

Some crypto exchanges have said they will not block Russians from accessing its services, while others – including Binance – have blocked the accounts of sanctioned Russians.

Trading volumes between the Russian ruble and cryptocurrency Tether increased this week as the local currency fell to a record low under Western sanctions.

The Binance crypto exchange, however, blocked the accounts of all Russian customers targeted by the sanctions.

Meanwhile, US senators have also asked the Treasury if sanctions against Russia can be applied in the cryptocurrency markets.

A group, including Elizabeth Warren, Sherrod Brown and Mark Warner, shared EU finance ministers’ concerns and wrote to Treasury Secretary Janet Yellen.

“We are writing to inquire about the progress of the Treasury Department in monitoring and enforcing sanctions compliance by the cryptocurrency industry and to express our concern that criminals, rogue states and other players may use digital assets and alternative payment platforms as a new way to hide cross-border transactions for nefarious purposes,” the letter states.

“Given the need to ensure the effectiveness and integrity of our sanctions program against Russia and other adversaries, we are seeking information on the actions taken by the Treasury to enforce the United States’ sanctions compliance. ‘cryptocurrency industry.’

Reuters/Newshub

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