Russian banks will start tracking the withdrawal of capital abroad through cryptocurrencies

The transactions with digital assets should not contradict Russia’s retaliatory sanctions on restrictive measures of Western states

17.03.2022 - 12:00

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What’s new? The Bank of Russia has instructed financial institutions to strengthen supervision of transactions involving digital assets. The Central Bank’s decree is available to GetBlock. The document says that transactions with cryptocurrencies should not violate Russia’s retaliatory sanctions against countries that have imposed economic restrictions on Russians. The decree also provides for a ban on the use of cryptocurrencies for the withdrawal of assets abroad.

How will the work of banks change? Banks will have to pay attention to suspicious transactions involving customers’ digital assets, such as the withdrawal of capital abroad with cryptocurrencies. If suspicious transactions are detected, the regulator recommends paying close attention to the customer’s transactions and conducting thorough due diligence on the laundering of proceeds from crime.

What preceded it? Earlier, the EU included cryptocurrencies in another package of sanctions against Russia, prohibiting individuals and entities on sanctions lists from using digital assets to circumvent restrictive measures. The sanctions against Russian politicians and oligarchs were supported by еру South Korean crypto exchanges, as well as trading platforms Binance, Coinbase, Kraken, and Bitfinex.

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