According to recent reports, the world’s biggest crypto exchange, Binance, targeted to block the Russian user accounts available on the sanctions list due to war.
The action took place after Ukraine’s vice prime minister requested the world’s crypto exchanges to impede the cryptocurrency accounts of Russia’s traders and political persons. As a result, Binance ultimately refused to restrict all the Russian crypto user accounts but assured to curb only those accounts on the sanctions list.
Related Readings | Russia Said SWIFT Ban Could Be Tantamount To A Declaration Of War
A representative for Binance explained to Reuters;
We’re blocking accounts of those on the sanctions list (if they have Binance accounts) and ensuring that all sanctions are met in full.
Sanctions Against Russia
England, Europe, and America have imposed economic sanctions on Russian for starting attacks on Ukraine. United States President Joe Biden announced sweeping sanctions against Russian banks VEB and its military banks. Biden also announced comprehensive sanctions on sovereign debt.
In addition, interbank messaging networks and SWIFT international payment system, managing cross-border cash transactions, stopped Russian bank’s funds’ transfer facilities.
Mykhailo Fedorov, vice prime minister of Ukraine, requested on Twitter to the world’s top crypto exchanges to impede the digital currency accounts of Belarussian and Russian customers.
He wrote on Twitter;
It’s crucial to freeze not only the addresses linked to Russian and Belarusian politicians but also to sabotage ordinary users.
Crypto Exchanges Declining Ukraine Request
The leading crypto exchanges, particularly Binance and Kraken, both declined the request and declared that they would not apply sanctions on all accounts. However, Jesse Powel, CEO of Kraken crypto exchange, tweeted that the company “ cannot freeze the accounts of our Russian clients without a legal requirement to do so.”
KuCoin, another crypto exchange, also declared that it would not freeze the crypto accounts of innocent Russian users.
Related Readings | Ukraine Is Better ‘Armed’ Than Russia In Crypto Adoption As War Breaks Out
Another representative of Reuters informed that Binance is not planning to freeze million faultless crypto account holders independently. The crypto market is a way to facilitate individuals worldwide with a self-managed economic environment.
After Russia attacks Ukraine, all the crypto exchanges are monitored due to the threat that Ukraine individuals can use digital currencies to avoid sanctions. Furthermore, cryptocurrencies, as things stand, look to be helping armed forces or Ukraine after the war because they have acquired millions of dollars in donations through crypto fundraisers.
Crypto Exchanges Favoring Ukraine Request
Dmarket, a crypto exchange, announced through Twitter that it had stopped all the relations with Russia and Belarus because of an attack on Ukraine.
The company confirmed to have stopped Russian and Belarus customers registration with Dmarket and confirmed frozen accounts all the users belong to Russia and Belarus.
Featured image from Pixabay, Chart from TradingView.com
