The European Union has unveiled its 21st sanctions package against Russia, which for the first time includes the possibility of restricting access to the European market not only for individual crypto platforms, but also for cryptocurrency service providers based in entire jurisdictions. EU foreign policy chief Kaja Kallas announced this on June 9.
The proposal includes sanctions against 170 individuals and legal entities and will be discussed by EU ambassadors on Wednesday. The package requires unanimous approval from all EU member states before it can be adopted.
The new measures would ban transactions involving 35 banks, including four financial institutions located outside Russia, as well as 11 crypto platforms that, according to the EU, have allegedly helped circumvent Western sanctions.
European Commission President Ursula von der Leyen said the package creates a legal basis for increasing pressure on the crypto industry. In particular, the EU would be able to prohibit cryptocurrency services provided from third countries if their jurisdictions are used to circumvent sanctions imposed on Russia.
Kyrgyzstan became the first country against which the European Union has partially applied its anti-circumvention mechanism, including in connection with involvement in Russian cryptocurrency transactions.