Kraken, the crypto exchange in the US, has decided to freeze the accounts of its Russian customs. The crypto and digital aggregators decided to come to these actions considering the EU sanctions and Russia’s political actions against Ukraine. The network noted it will allow the customers to withdraw their cryptos before the freeze is materialized.
What is Kraken?
Kraken is a bank and cryptocurrency exchange platform based in the US. The digital fintech company started its operations in 2011. The Kraken is the very first platform of bitcoin exchange which was listed on the terminals of Bloomberg. The company is valued at approximately $10.8 billion in crypto assets as of the summer of 2022.
Why has the EU imposed sanctions on Russia?
The economic sanctions were imposed by the European Union on Russia considering the political and social interference of Russia in its neighboring country Ukraine last year. The issues escalated in the last quarter when Russia announced a full-fledged war against Ukraine for all its political motives in Russia. Since then Russia has been in neck-to-neck competition with all the international resources and allies above Ukraine.
How do sanctions impact the country’s economy?
The actions of Russia are considered politically unethical as Russia is trying to use its political powers to suppress the anatomy of its neighboring country Ukraine. Along with that Russia is considering these moves as the motive to reduce the existence of Ukraine as a separate country but as an integral matter of Russia. Russia wants to work on these motives against the police sentiments of all the Ukrainian citizens.
Russia, one of the largest economies in the world as a country is facing unrest from its native citizens as well for all such political activities, which are impacting its negative public picture to the world. This political action by Russia has impacted the trade relations of Russia with other global economies and by the end of august 2022, Russia is imposed by more than 30 countries under the economic sanctions.
What are the other crypto platforms banning Russians?
Apart from recent actions by the Kraken cryptocurrency platform other platforms like blockchaincom and CryptoCom have also blocked the access of their Russian customs from the platform.
These cryo blockades for all the Russian customers can be evaluated from all political actions of Russian governments against Ukraine and till the time the relations between Russia and Ukraine have not resolved, these political sanctions from various countries and private companies will continue against Russia and its native citizens who are using the global services.