- This week it was announced that the EU had adopted its eighth set of penalties against Russia, which is designed to target the economy, its government, and energy exports.
- It is due to a reaction to the recent escalation of the conflict between Russia and Ukraine and the annexed Ukrainian territories.
- Russian use of cryptocurrency, which is seen as a way to get around restrictions on financial transactions and to export wealth, was also being targeted.
The Council of the European Union entirely prohibited the service of crypto wallets, accounts, and custody facilities to the citizens of Russia and authorities. But, an official from Russia cited by the Tass news agency, the EU judgment may really encourage the growth of Russia’s digital financial asset (DFA) market.
The belief was conveyed by Anatoly Aksakov, head of the Finacial Market Committee at the State Duma. He has been extremely indulged in the latest attempts to regulate Russia’s crypto industry, involving the use of virtual currencies in international settlements.
The recent round of EU sanctions secures formerly forced limitations. In 2022, as a member of its fifth package of measures allowed a little over a month after Russia introduced its capture of Ukraine, the 27-strong bloc restricted only “high-value” crypto-asset services for Russians and authorities registered from Russia.
Binance, Huobi comments on recent EU Sanctions
“Similar judgements have so fare been made earlier. They shut the official representative offices of their crypto exchanges in Russia, but infact nothing transformed. There can also be an office in the digital world, not at some place in Moscow,” Anatoly Aksakov further explained, asserting that Russians can comfortably ignore the sanctions.
Meanwhile, Binance moderately obeyed with the EU’s earlier needs, permitting only withdrawals in the matter of Russian account balances surpassing €10,000; it has now stated to clients it didn’t launch new restrictions, Bits. media unveiled in a report. One more significant platform, Huobi, revealed that it carries on to back the stable trading of Russian users.”
Besides seven crypto exchanges over the world well known by Russians, like Bybit, Coinbase, FTX, Kraken, and Gate.io, no one is a “European native for which the steps will be compulsory, the Russian crypto news channel highlighted. Russian crypto analyst such as the Chief Executive Officer of Indefibank, Sergey Mendeleev, is uncertain about the imposition of the EU by many crypto firms.
The coming year is the year of virtual; financial assets in Russia, which you all will witness, Aksakov guaranteed. His words come as deputies in the State Duma get ready to adopt a new policy “On Digital Currency” created to manage decentralized crypto assets like Bitcoin and their deployment in cross-border crypto payments between Russian firms and their foreign collaborators.
Steve Anderson is an Australian crypto enthusiast. He is a specialist in management and trading for over 5 years. Steve has worked as a crypto trader, he loves learning about decentralisation, understanding the true potential of the blockchain.
Source: https://www.thecoinrepublic.com/2022/10/09/recent-eu-sanctions-expected-to-encourage-russias-market-exhanges-controls-services/