Russia, sanctions, crypto– yes, three words that have this week informed one of the most discussed topics in the crypto space.
We know Russia attacked Ukraine and a war is going on. This has in turn attracted tough sanctions from across European nations and the United States.
And in the middle of all these, there's a simple hypothesis that crypto could provide Russian oligarchs a way to circumvent sanctions. Of course crypto should be able to do this, given characteristics inherent to the burgeoning technology.
But it won't be won't be easy and Coinbase CEO Brian Armstrong has shared his views on why not.
Why Coinbase thinks crypto will not be ideal Russian oligarchs
According to Coinbase CEO Brian Armstrong, it’s possible a wealthy Russian close to President Vladimir Putin might try to evade US sanctions by using crypto.
Yet, looking at the prevailing circumstances around Russia, crypto may not be what an oligarch trying to remain anonymous or discrete would look to use in “sneaking” huge amounts of money around.
And it even gets tougher given that the liquidity one might need to facilitate this on the biggest exchanges- most of them available in the US and other major countries looking to enforce sanctions. As such, crypto businesses in these countries will likely follow the law and make it difficult for Russia or the sanctioned individuals.
Sharing his thoughts on this very topic, the Coinbase chief noted:
“Every US company has to follow the law – it doesn't matter if your company handles dollars, crypto, gold, real estate or even non financial assets. Sanctions laws apply to all US people and businesses. So it would be a mistake to think crypto businesses like Coinbase won't follow the law.
