American exchange coinbase Restricts access to Russian customers

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The rationale for the ban is to comply with the local regulator FinCEN’s standards, which are part of the US Department of Treasury’s financial crime enforcement department.

Previously, the exchange planned to restrict only accounts with a total deposit of more than €10,000, but under the influence of US regulators, it altered its mind. Since the exchange stopped officially serving Russian customers in September 2020, the amount of trade on the exchange has been exceedingly low in Russia.

Other prominent exchanges that have already imposed limitations on Russian users, like as Binance and Bithumb, are most likely to strengthen their sanctions policies. Exchanges with European and American licenses, like as FTX, Kraken, and Gemini, carry even higher risks.

A movement of users to decentralized sites, which, by definition, will not comply with any sanctions requirements since they do not have a manager, might be a response to widespread blockage of Russians.

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