Ukraine plans to file legal demands on crypto-asset trading platforms to freeze accounts of Russian users.
As reported by The Block, a top Ukrainian regulator said it plans to take legal claims to crypto exchanges. This, in turn, aims to restrict access to crypto assets for Russian citizens.
After Ukraine’s Deputy Prime Minister and Minister of Digital Transformation Mykhailo Fedorov yesterday urged platforms to block accounts of both Russian and Belarusian users, many such as Kraken and Binance said they would not be able to do so without a legal request. After these answers, Ukraine decided to increase the pressure. Yulia Parkhomenko, Head of the Virtual Assets Expert Group at the Ministry of Digital Transformation of Ukraine, said:
“We are planning to make legal claims… This is a necessary precaution. There is no way to determine who is financing the war and who is not.”
After his statement, reactions to Ukraine rose. Some prominent figures in the crypto community have criticized this move as it involves freezing the accounts of innocent users as well.
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