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Guarantee Russia cannot use crypto assets to circumvent sanctions – Regulatory Bitcoin News

A group of seven countries (G7) issued a joint statement stating that “Russian states and elites, agents and oligarchs will not be able to use digital assets as a means of avoiding or offsetting the effects of international sanctions.” Announced. The Treasury “carefully monitors all efforts to avoid or violate Russia-related sanctions, including the use of cryptocurrencies.”

Russia promised to use cryptography to prevent sanctions from being circumvented G7

Since Russia’s President Vladimir Putin launched an invasion of Ukraine on February 24, the leaders of seven (G7) countries have jointly issued a statement on further sanctions against Russia. It has seriously jeopardized Russia’s economy and financial system. “

Among the measures that the G7 countries have promised to take further are “maintaining the effectiveness of restrictive measures, cracking down on avoidance and closing loopholes.”

Details of the G7 Joint Statement:

Specifically, in addition to other measures planned to prevent evasion, Russian states and elites, agents and oligarchs cannot utilize digital assets as a means of avoiding or offsetting the effects of international sanctions. will do so.

The G7 pointed out to its leaders that this would “further limit access to the global financial system.” They emphasized that “current sanctions are already generally understood to target crypto assets.”

The statement continues:

We promise to take steps to better detect and prevent illegal activity, and in line with national processes, illegal Russian activity using digital assets to enhance and transfer wealth. I will charge the person.

US Treasury Oversight Crypto Sector to Prevent Sanctions Avoidance

The Office of Foreign Assets Control (OFAC) of the US Treasury also issued guidance on Friday “to prevent potential attempts to use cryptocurrencies to circumvent US sanctions imposed on Russia.” , Regardless of whether the transaction is built in traditional flat currency or cryptocurrency. “

“Americans need to be vigilant in attempts to circumvent OFAC regulations and take risk-based measures to avoid engaging in banned transactions, wherever they are, including companies that process cryptocurrency transactions,” Guidance said. He adds:

OFAC carefully monitors all efforts to avoid or violate Russia-related sanctions, including the use of cryptocurrencies, and uses its extensive enforcement authorities to act on violations and promote compliance. I promise to do it.

Last week, Treasury Secretary Janet Yellen oversaw the use of cryptocurrencies by the Treasury to evade sanctions, and the Financial Crimes Enforcement Network (FinCEN) signaled a possible evasion of sanctions using cryptocurrencies. I said it was issued.

What do you think of the G7 government’s efforts to prevent the use of cryptography to circumvent sanctions? Let us know in the comments section below.

Kevin Helms

Kevin, a student of Austrian economics, has been an evangelist since he found Bitcoin in 2011. His interests are in Bitcoin security, open source systems, network effects, and the crossroads of economics and cryptography.

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