Bitcoin Price Strengthens, Crypto Mining Companies are Happy

Previously, the new sanctions discussed by European Union (EU) member states amid the current conflict escalation in Ukraine would restrict European crypto services for Russia.

Reporting from Bitcoin.com, Thursday (6/10/2022). reports of the tightening come after earlier this year the EU only banned “high value” crypto asset services to Russian residents and companies.

The European Union is set to punish Russia with more sanctions for its decision to announce partial mobilization as part of an escalating military intervention in Ukraine and moves to annex occupied Ukrainian territory.

The new measures will also aim to further limit Russia’s ability to transfer wealth using digital assets such as cryptocurrencies, according to Bloomberg citing knowledgeable sources.

The move also seeks to prevent European companies from providing crypto wallets, accounts or custody services to Russian citizens and entities, the report said.

Cryptocurrencies were targeted in sanctions introduced this spring, the fifth round of measures approved by the EU Council, designed to narrow existing loopholes in the crypto space.

At the time, the European Union prohibited the provision of “high value” crypto asset services to Russian entities and residents. Restrictions are applied to digital funds which are USD 9,803 or the equivalent of IDR 159.7 million.

Apart from crypto, jewelery and precious stones are also on the new restricted list. It also suggests cracking down on those trying to circumvent sanctions, aims to bar EU citizens from holding high-paying roles in Russian state-owned companies, and to punish individuals and entities involved in staging the recent referendum in Ukraine.