The European Union (EU) is considering banning all crypto transactions with Russia to prevent Moscow from using digital assets to evade sanctions related to the Ukraine conflict, according to documents obtained by the Financial Times.
The EU aims to block “Russian crypto entities copying” that are separated from platforms previously sanctioned. These entities are believed to be supporting trading activities for Russia’s military operations. The new measure also seeks to prevent the emergence of “descendants” of the Garantex crypto exchange — a platform that has been on the EU sanctions list since last year.
Beyond Russia, Kyrgyzstan could also be affected. The EU proposes to ban the export of certain dual-use goods and accuses Kyrgyz companies of selling items such as electronic equipment used in drones and weapons to Russia. The documents indicate that high-priority imports from the EU to Kyrgyzstan have increased by nearly 800% since the outbreak of conflict, while exports from Kyrgyzstan to Russia have risen by 1,200%, highlighting a high risk of sanctions evasion.
Blockchain analysis firm TRM Labs states that Garantex — along with Iran’s Nobitex exchange — accounts for over 85% of the total flow of funds into sanctioned entities and regions in 2024. The U.S. has also imposed sanctions on Garantex and re-designated the platform last year. The U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) reports that most of the funds sent to Garantex originate from crypto exchanges involved in criminal activities.
The EU’s proposal requires unanimous approval from all 27 member countries to pass. However, according to the Financial Times, three countries are currently hesitant about this ban.
Disclaimer: The information on this page may come from third parties and does not represent the views or opinions of Gate. The content displayed on this page is for reference only and does not constitute any financial, investment, or legal advice. Gate does not guarantee the accuracy or completeness of the information and shall not be liable for any losses arising from the use of this information. Virtual asset investments carry high risks and are subject to significant price volatility. You may lose all of your invested principal. Please fully understand the relevant risks and make prudent decisions based on your own financial situation and risk tolerance. For details, please refer to
Disclaimer.
Related Articles
Crypto market structure bill release pushed back as industries view revised stablecoin yield compromise this week
Crypto and banking industry representatives are meeting to discuss stablecoin yield provisions in a market structure bill. Compromise language, led by Senators Alsobrooks and Tillis, has raised concerns in the crypto sector, particularly regarding yield based on stablecoin balances. The release of the revised text has been delayed, with ongoing negotiations over technical details. A markup hearing is anticipated later in April. Other regulatory concerns, including the definition of DeFi and potential ties to former President Trump's family, remain unresolved.
CoinDesk26m ago
Trump asks Congress for $1.5 trillion defense budget, the largest military spending request in US history
The Trump administration submitted a $1.5 trillion defense spending request to Congress on April 3 --- the largest military budget proposal in U.S. history --- pairing record military outlays with cuts to domestic programs in a fiscal combination that signals sustained inflation pressure and a
Cryptonews1h ago
Trump fires Pam Bondi, puts pro-crypto Todd Blanche in charge of the DOJ
President Trump has fired Pam Bondi and replaced her with Todd Blanche as interim U.S. Attorney General --- handing control of the Justice Department to the official who dismantled the DOJ's crypto enforcement unit in April 2025 and holds up to $485,000 in personal digital asset holdings.
Cryptonews2h ago
Bitcoin Hovers Near $67,000 Amid US Political Turmoil and Soaring Energy Prices
Bitcoin traded mostly flat on April 3, hovering near $67,000 despite sharp geopolitical and political developments. The cryptocurrency’s relative stability kept its market cap steady at $1.34 trillion and liquidations low at $31 million.
Political Turbulence Overshadows Conflict
Bitcoin traded
Coinpedia4h ago
The U.S. will double the reinsurance scale for ships in the Strait of Hormuz to $40 billion
The United States will provide a $40 billion reinsurance commitment for vessels transiting the Strait of Hormuz, and will introduce new insurance partners to boost confidence in maritime trade. The DFC will work with multiple insurance companies to jointly determine which vessels qualify for reinsurance.
GateNews7h ago
Trump Releases FY2027 Budget Proposal: $1.5 Trillion in Defense Spending Sets a Modern-Era Record
Trump released the FY 2027 budget proposal, planning to request $1.5 trillion in defense spending, a record high. Of this amount, $1.1 trillion would be allocated to the Department of Defense, and $350 billion would be used for ammunition procurement and industrial expansion. In addition, the budget also supports projects by the National Fraud Investigation Bureau and construction projects in Washington, D.C., including defense spending.
GateNews8h ago
