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US Government Sanctions 13 Fintechs Over Crypto Services to Russia

US Government Sanctions 13 Fintechs Over Crypto Services to Russia

The United States government has taken action against 13 financial technology companies, alleging their involvement in providing cryptocurrency-related services to Russian entities seeking to evade economic sanctions amidst the ongoing conflict in Ukraine.

According to statements from the US Treasury Department, these fintech firms, along with two individuals, are accused of facilitating the development or operation of blockchain-based platforms or enabling virtual currency transactions within Russia’s financial sector, potentially aiding in sanctions evasion.

Among the entities facing sanctions are B-Crypto, Masterchain, and Laitkhaus, all of which are reportedly linked with Russian banks to facilitate the issuance, transfer, and exchange of digital assets.

Furthermore, Netexchnage has been singled out for its operation of a cryptocurrency exchange, while Atomaiz is under scrutiny for its involvement in tokenizing precious metals for Russian businesses.

READ MORE: Hong Kong Regulator Warns Against Suspicious Crypto Platform

Brian Nelson, the Treasury’s undersecretary for Terrorism and Financial Intelligence, emphasized the growing trend of Russia turning to alternative payment methods to bypass US sanctions and finance its actions in Ukraine.

Nelson affirmed the Treasury’s commitment to exposing and disrupting the activities of companies aiding sanctioned Russian financial institutions in accessing the global financial system, particularly as the Kremlin increasingly utilizes entities within the financial technology sector for this purpose.

Alexander Stefanov

Reporter at CoinsPress

Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.

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