The Group of Seven (G7), which brings together the richest countries, issued a statement against Russia on Friday (11), reiterating that cryptocurrencies are part of the sanctions.
The G7 consists of the United States, Japan, Germany, the United Kingdom, France, Italy and Canada and occasionally meets as the G8, thus counting on the presence of Russia. However, the latter should take longer to solve the recent problems.
The group is closely following the Russian invasion of Ukraine, calling it a perverse war that has brought suffering to the Ukrainian people.
What does the G7 think about the cryptocurrency sanctions imposed by Russia?
Banning cryptocurrency trading, which no country can do due to the decentralized nature of the technology. However, it is entirely possible for brokers to ban Russian customers and their transactions, and it has been happening in recent weeks following Russia's invasion of Ukraine.
On Friday, the group issued a press release, also shared by the U.S. White House, saying it continues to support the government and people of Ukraine, citing Vladimir Putin's military aggression as the reason.
In the open letter, the G7 urged Putin to provide humanitarian aid to those in need and allow civilians to leave the country. EU countries pledged to provide humanitarian, financial and medical assistance to the refugees.
In addition, the G7 announced seven measures against Russia, the first being measures to strip Russia of its most favored nation status. The second is to ensure that Russia no longer has access to easy financing from the International Monetary Fund, the World Bank and others.
The third measure aims to ensure that the Russian elite is under pressure, especially those closest to Putin. In the fourth point, the G7 mentioned cryptocurrencies, informing that this technology is part of the sanctions against Russia and that Russia must eliminate all financial support gaps.
"Fourth, we are committed to maintaining the effectiveness of restrictive measures to combat tax evasion and close loopholes. Specifically, in addition to other planned measures to prevent tax evasion, we will ensure that the Russian state and elite, prosecutors and oligarchs cannot use digital assets as a means to avoid or offset the impact of international sanctions, which will further limit their access to the system . World Finance . As you know, our current sanctions already cover cryptocurrencies. We are committed to taking measures to better detect and deter any illegal activity and impose costs on illegal Russian actors who use digital assets to increase and transfer wealth, in accordance with our national procedures."
Will the war in Ukraine accelerate industry regulation?
With the conflict in Ukraine drawing attention to the topic of cryptocurrencies around the world, several countries, including the United States and Europe, have announced that the industry will be regulated.
In the United States, the word risk appears 47 times in Joe Biden's cryptocurrency executive order issued in recent days.