Cryptocurrency exchanges are still trying to figure out how to deal with western sanctions against Russia after its invasion of Ukraine.
US measures announced on Thursday aim to limit Russia’s ability to do business in dollars and some other international currencies. They include penalties on the nation’s major banks, as well as restrictions on elite citizens and their family members.
That’s led to speculation that cryptocurrency – which is touted as an alternative to traditional financial systems – would serve as a tool wealthy Russians could use to circumvent those sanctions.
Digital currencies might help billionaires buy goods and services and invest in assets outside Russia, all while avoiding banks or institutions that adhere to sanctions and could trace their transactions.
Some cryptocurrency exchanges are based in jurisdictions beyond the scope of sanctions and others don’t require customer identification, making it difficult to impose curbs.
What’s more, some…