The Russian invasion of Ukraine has brought many problems to the whole world. The US, UK, EU and other countries have taken measures to curb the Russian economy. After damaging the traditional markets, the Union of several countries is now targeting the Cryptocurrency and NFT markets in Russia with sanctions. In this bid, the Japanese financial regulator and the Virtual and Crypto Assets Exchange Association (JVCEA) have reportedly started working on it.
How Japan Enables Crypto Sanctions?
The Allies have already taken some steps in response to the Russian invasion of Ukraine. The measures taken by them have limited the Russian economy, access to technology and the cryptocurrency market. Now the Japanese government is in talks with the watchdogs to evaluate how to effectively implement sanctions against Russia.
The JVCEA and Japan’s financial regulator are now analyzing several effective ways to block the transfer of crypto assets on the country’s sanctions list.
However, the dialogue currently does not include a proposal to cut access to all Russian customers, The Japan Times reports.
How could it affect the Russian crypto industry?
The sanction imposed by the allies has already blocked Russian banks from the global SWIFT payment network. This move has caused the Russian ruble to fall by more than 30%. Now one can easily sense what attacking the Russian cryptocurrency market with possible sanctions can do.
We are closely monitoring the situations of settlements such as crypto-assets and SPFS to ensure the effectiveness of sanctions against Russia, Japanese Finance Minister Shunichi Suzuki said, The Japan Times reported.
While JVCEA head Satoshi Hasuo has said: “We will work with the Financial Services Agency to see what specific measures are possible,” Nikkei Asia reported.
According to reports, Russians have invested about 5 trillion rubles ($46.6 billion) in cryptocurrency, while the country is the third largest crypto miner after the US and Kazakhstan. By applying more effective sanctions to the Russian crypto industry, the union of some countries will certainly aim for its total destruction.
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About the author
Ashish believes in decentralization and has a keen interest in evolving Blockchain technology, the cryptocurrency ecosystem and NFTs. He aims to create awareness around the growing Crypto industry through his writings and analysis. When he is not writing, he plays video games, watches a thriller or participates in outdoor sports. Reach me at [email protected]
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