DMarket and Kuna announced it would block the accounts of Russian users due to the invasion of Ukraine. Kraken and KuCoin said they would not freeze the accounts of Russian citizens without a legal requirement.
Mykhailo Fedorov, the Vice Prime Minister of Ukraine, recently urged cryptocurrency exchanges to block the addresses of Russian citizens.
The official has sent letters to eight cryptocurrency exchanges, requesting them to stop serving Russian users. He expressed concern that citizens from the Eurasian country were using crypto assets to evade international sanctions.
He stated that he was requesting leading cryptocurrency exchanges to block the addresses of Russian users. He said it was crucial to freeze the accounts linked to Russian and Belarusian politicians and sabotage ordinary users.
Besides, US officials call on cryptocurrency exchanges worldwide to prevent Russian entities from using crypto assets to circumvent sanctions.
The Response from Cryptocurrency Exchanges Due to the Conflict
Startup DMarket announced that it would suspend all relations with Russia and Belarus due to the invasion of Ukraine. They said users from those two countries could not register on the platform and noted they had frozen the accounts of previously registered users.
Fedorov stated that the funds from the frozen accounts could help fund the Ukrainian military force.
Jesse Powell, the CEO of Kraken, told Mykhailo Fedorov that his company could not freeze the accounts of Russian citizens without a legal requirement.
Powell expressed that he understands the reason for the request due to his deep respect for the Ukrainian people. However, he explained that the exchange could not block the accounts of its Russian citizens without a legal obligation. He considers that those users must be aware of the imminence of that requirement.
Other Companies Give their Opinion on Blocking the Accounts of Russians
Michael Chobanian, the founder of the Ukrainian exchange Kuna, announced they had blocked Russian users from the platform.
Johnny Lyu, the CEO of KuCoin, said his company would not freeze the accounts of users from any country without a legal requirement. He stated they are a neutral platform and thinks that would increase tension to impact the rights of innocent people.
Binance has been blocking the accounts of any user subject to the sanctions imposed by the United States and the European Union. However, they pointed out that they are not taking measures against the rest of its users in the Eurasian nation.
The firm announced that they are blocking the accounts of those on the sanctions list. They also are making sure to meet all sanctions in their entirety.
They added that they would not freeze the accounts of millions of innocent Russian users. In that regard, they explained that cryptocurrencies aimed to bring greater financial freedom to people worldwide.
The conflict between Russia and Ukraine has raised concern among people worldwide, who have expressed their reactions to that situation. Although the Ukrainian authorities require cryptocurrency exchanges to block the accounts of Russian users, some think that is not the best decision.
By Alexander Salazar
