In the newly announced sanctions by the EU, the organization is banning Russia from conducting cryptocurrency cross-border payments.
The European Union issued a new statement online, outlining a new set of restrictions imposed on Russia.
As per the new sanctions imposed, the European Union has banned Russia from conducting cross-border payments in cryptocurrency.
The EU issued the statement on October 6, when the organization imposed a ban on all crypto payments from Russian accounts. The new set of prohibitions includes banning all crypto assets and custody services irrespective of the amount stored in the users’ crypto wallets.
The European Union Bans all Cross-Border Cryptocurrency Payments From Russia
The new sanctions were introduced in light of the escalating war situation in Ukraine, with Russian troops recently announcing the annexation of four Ukrainian territories.
Additional individuals and entities have been sanctioned. This targets those involved in Russia’s occupation, illegal annexation, and sham “referenda” in the occupied territories/oblasts of Donetsk, Luhansk, Kherson, and Zaporizhzhia regions. It also includes individuals and entities in the defense sector, such as high-ranking military officials and companies supporting the Russian armed forces. The EU also continues to target actors who spread disinformation about the war.
The EU’s statement further reiterates how its decision to impose a blanket ban on Russian cross-border crypto payments has deprived the Kremlin’s military and industrial complex of key components and technologies and Russia’s economy of European services and expertise. The newly announced sanctions also include banning the export of coal (used in Russian industrial plants), specific electronic components (used in the manufacturing of weapons), certain chemicals, and aviation sector materials to disable the Russian army’s strength and restrict the nation from accessing technological and industrial items.
The sanctions also strip the Russian army and its suppliers of other goods and equipment needed to wage its war on Ukrainian territory. The package also lays the basis for the required legal framework to implement the oil price cap envisaged by the G7.
Russia has always been keen on pursuing crypto-related payments to conduct cross-border settlements.
Alexei Moiseev, the Deputy Finance Minister of Russia, in collaboration with the Central Bank of Russia, had earlier agreed to draft a policy to promote cross-border crypto payments in the region.
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