Japan Forced To Curb Crypto Exchanges and Miner’s Ties With Russia

• US officials have identified the region of Siberia as a key crypto mining center.
• A call has been sent to 31 Japanese crypto exchanges.

It has been reported by the Financial Times that US officials have asked the Japanese government to intensify pressure on cryptocurrency exchanges and miners with ties to Russia. The United States has told Japanese authorities that they must do everything possible to ensure that crypto firms operating in their country have no links to Russia.

Pressing Sanctions on Russia

This is the recent attempt by the United States to cut off Russia’s economy from the rest of the globe. A call has been sent to 31 Japanese crypto exchanges, according to people familiar with the situation who spoke to FT.

According to these sources, US officials have identified the region around Irkutsk in Siberia as a key crypto mining center. The low temperature in this location makes it ideal for crypto mining and inexpensive hydroelectric energy.

The country’s Financial Services Agency has promptly reissued recommendations for Japanese exchanges and miners to cut all relations with Russia after the United States’ request. 

Even still, the US state department in Washington insists that the United States and its allies will hold Russia accountable for its actions in Ukraine. According to a representative for the State Department, the government will continue to make efforts to guarantee that sanctions are implemented.

There was no surprise in the US government’s latest step in light of suspicions that Russia could be able to circumvent sanctions by using cryptocurrency. On the other hand, the crypto community has categorically refuted this notion. With the recent market downturn and Bitcoin prices trading around the $20k range, miners are having a tough time already.

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