The European Union Council has imposed new sanctions on Russia, including an extended ban on cryptocurrency-focused transactions for previously blacklisted Russian individuals and their relatives. According to the recent round of sanctions, there is now a new “prohibition on providing high-value crypto-asset services to Russia,” with the goal of “contributing to closing potential loopholes.”
The sanction comes on the heels of other financial sanctions, including additional sanctions on four major Russian banks, which account for roughly 23% of the banking sector’s shares. When combined with the previous ban from the SWIFT network, the latest ban on these banks will effectively isolate Russia from European Union markets.
As a result of its invasion of Ukraine last month, Russia has continued to face sanctions. According to recent sources, the country’s forces are targeting civilians, which amounts to war crimes against international human rights.
“These latest sanctions were imposed in response to atrocities committed by Russian armed forces in Bucha and other Russian-occupied areas.” “The goal of our sanctions is to put a stop to Russia’s reckless, inhuman, and aggressive behaviour and to make it clear to Kremlin decision-makers that their illegal aggression comes at a high cost,” said Josep Borrell, High Representative for Foreign Affairs and Security Policy.
Since the sanctions were imposed, Russian officials have considered a variety of alternative measures to circumvent the sanctions imposed by the EU and the US. After considering banning Bitcoin (BTC) transactions and mining for a long time, Moscow has begun advocating for mining to be legalised as a way to mitigate the sanctions.
Furthermore, Moscow has considered accepting Bitcoin for international transactions because financial sanctions have made it impossible for the country to conduct transactions using fiat currency dominated by the US dollar. The purpose of the sanctions has been to limit Russia’s economic and financial ability to continue the war, and these new sanctions may force President Vladimir Putin to sheath his sword and adhere to a permanent ceasefire.
