Binance, the world’s largest crypto exchange, has curbed its services in Russia in compliance with the European Union’s (EU) fifth sanctions package against the country.
Per the announcement Thursday, Binance will now restrict its Russian-based users and entities, who have more than 10,000 EUR ($10,900) worth of crypto, from accessing the exchange’s services. Presently, users can withdraw their funds, but cannot trade or deposit using their Binance accounts.
In addition, users who have positions in the futures and derivatives market are required to settle them within 90 days. Also, no new positions are allowed. Currently, user accounts with less than 10,000 EUR will be able to access trading services as usual.
“While these measures are potentially restrictive to normal Russian citizens, Binance must continue to lead the industry in implementing these sanctions. We believe all other major exchanges must follow the same rules soon,” the exchange said in its blog post.
The EU’s fifth sanctions package has targeted Russian-based cryptocurrency wallets as part of its strategy to close any loopholes that Moscow may use to evade sanctions. Ukraine has also called upon cryptocurrency exchanges to put a total ban on their services in Russia, however, to no avail.
I'm asking all major crypto exchanges to block addresses of Russian users.
It's crucial to freeze not only the addresses linked to Russian and Belarusian politicians, but also to sabotage ordinary users.
— Mykhailo Fedorov (@FedorovMykhailo) February 27, 2022
The news also came just days after the US Treasury Department sanctioned Russian crypto mining firm BitRiver and several of its subsidiaries.