Major crypto exchanges refuse to freeze all Russian user accounts

midian182

midian182

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A hot potato: Coinbase, Binance, and Kraken, three of the world’s largest cryptocurrency exchanges, are joining others in refusing requests by Ukraine to freeze all Russian users' accounts. While the companies have frozen the accounts of those targeted by sanctions, they will not implement a universal block on Russian accounts.

On Sunday, Ukraine's Vice Prime Minister Mykhailo Federov tweeted a plea for all major crypto exchanges to block addresses of Russian users. “It's crucial to freeze not only the addresses linked to Russian and Belarusian politicians, but also to sabotage ordinary users,” he wrote.

Fedorov is also offering a “generous reward” for information on digital wallets held by Russian and Belarusian politicians.

A spokesperson for Binance told CNBC, “We are not going to unilaterally freeze millions of innocent users’ accounts.”

“Crypto is meant to provide greater financial freedom for people across the globe. To unilaterally decide to ban people’s access to their crypto would fly in the face of the reason why crypto exists.”

Binance also says it will donate $10 million towards humanitarian efforts in Ukraine and is launching a “crypto-first” crowdfunding site to raise a further $20 million.

The US, UK, Europe, and Canada have all responded to the invasion of Ukraine with a slew of sanctions against Russian banks, oligarchs, politicians, and more. While the big crypto exchanges have frozen the accounts of sanctioned users, the firms are refusing to take the same action against all Russians.

“A unilateral and total ban would punish ordinary Russian citizens who are enduring historic currency destabilization as a result of their government’s aggression against a democratic neighbor,” Coinbase told Motherboard.

Another large exchange, Kraken, said that it could not freeze the accounts of its Russian users without a legal requirement to do so. Kraken exchange CEO Jesse Powell said such a move would violate the company's “libertarian values.”

Johnny Lyu, CEO of KuCoin, has a similar view: “As a neutral platform, we will not freeze the accounts of any users from any country without a legal requirement. And at this difficult time, actions that increase the tension to impact the rights of innocent people should not be encouraged.”

Bitcoin’s price has surged back up to above $43,000 this week after losing almost $10,000 of its value in the wake of the crisis.

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https://www.techspot.com/news/93592-major-crypto-exchanges-refuse-freeze-all-russian-user.html

 
Would be interesting to know if there are any groups that are unofficially working for the Gov being paid most likely in Crypto.

As much as the idea is great behind it the last 6 months has been massive turn in public opinion of Crypto and NFTs in my opinion. Which I find quite interesting, those people who where dying on that hill seem to have gone into hiding for the most part.
 
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It would would "fly in the face of the reason why crypto exists"
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Absolutely true. Imagine being in Russia, ruble tanks to below one cent, all your banks have been cut out from the rest of the world but one thing they can't control is crypto. That's the whole point of its existence. It's decentralized, you can't get your money taken away by banks or some other bs. Banning people from using crypto would mean crypto is actually not what it was advertised to be and it would probably tank into oblivion.

If you're for crypto being regulated you're shooting yourself in the foot, it might serve you one day.
 
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George Keech said:
Would be interesting to know if there are any groups that are unofficially working for the Gov being paid most likely in Crypto.

As much as the idea is great behind it the last 6 months has been massive turn in public opinion of Crypto and NFTs in my opinion. Which I find quite interesting, those people who where dying on that hill seem to have gone into hiding for the most part.
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Explain why Bitcoin is over $44,000 USD? Crypto exists because of stuff like this... Anyone who thinks crypto is dead is fooling themselves.
 
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Well yeah it would. The whole point of crypto is that it is SUPPOSED to be a decentralized currency, if it can be controlled which country can use it then it is no different then a stock exchange, and the value will plummet.
winjer said:
Was anyone expecting these scammers to have some ethic and do the right thing?
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Is locking russian citizen out of their holdings the "right thing"? Because that is one hell of a slippery slope. Canada just had some experience with this as well.

Sure, punish putin, punish the oligarchs that own most of the country, but the regular citizens? That's going too far.

I mean imagine if the whole world decided to freeze your bank account in new york because the US government bombed another 3 iraqi children.
Squid Surprise said:
Should we close down all the banks too?
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At the least everyone in charge circa 2008 should have been drawn and quartered. The problem with all the financial systems is the people in charge taking advantage of other people, not just that it occured in a building called "bank"
 
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This was 100% expected by anyone who even tangentially knows anything about Crypto and tech bro libertarians.

The real test is what happens to the rest of people basing their efforts on crypto: Nobody cares about the environment I know, but if people go to congress and say "Your sanction package isn't working because crypto exchanges can trade Russian bitcoin for USD anyway" well now you have this entire propaganda machine at full gear so you can't easily ignore them.

The logical step would be for all SWIFT banks and institutions to also completely and immediately ban all cryptocurrencies. So let's wait for that to happen (Hint: bring a comfy chair, some nice warm coffee or tea and some cookies because you're going to be waiting a while for that to ever happen)
 
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Theinsanegamer said:
Is locking russian citizen out of their holdings the "right thing"? Because that is one hell of a slippery slope.
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If it gets Russian citizens p1ssed enough to kick Putie out of the leadership he does not deserve, sure.
Theinsanegamer said:
Sure, punish putin, punish the oligarchs that own most of the country, but the regular citizens? That's going too far.
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There's more than one way to skin Putie.
Theinsanegamer said:
I mean imagine if the whole world decided to freeze your bank account in new york because the US government bombed another 3 iraqi children.
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Well then, perhaps that would bring about a citizen uprising against the "status quo" of American politicians whatever their political leaning.
Theinsanegamer said:
At the least everyone in charge circa 2008 should have been drawn and quartered. The problem with all the financial systems is the people in charge taking advantage of other people, not just that it occured in a building called "bank"
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In the US, at least, there have been attempts at the federal level to hold some of that high-level scum accountable. The trouble is, one side seems to think it is SOP, and reverses the accountability actions taken by the other side.

We, in the US, might just as well place a symbolic dirt pile on the lawn of the White House. That way, when the White House changes sides, the new side can just move that dirt pile to the other side of the lawn. Effectively, that is what happens anyway, IMO.
 
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Beerfloat said:
You could also say that you're shooting yourself in the foot if you're for crypto being unregulated. Unless you think criminals, rogue nations and tax dodgers should get away with circumventing the rules.
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No, I'm not. Criminals, rogue nations and tax dodgers existed before crypto and circumvented the rules. Also, wanting to be in prison because it's safe some sort of a slave mindset.
 
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Nobina said:
No, I'm not. Criminals, rogue nations and tax dodgers existed before crypto and circumvented the rules. Also, wanting to be in prison because it's safe some sort of a slave mindset.
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Having rules is not the same as being in prison. It creates an equal playing field for all to succeed while minimizing the harm to others.
 
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It would "fly in the face of the reason why crypto exists" <== hahaha, well DUH! We all know crypto is a dictator's, terrorist's, and cyber criminal's best friend! Maybe Russia should convert all their rubles to bitcoin!
 
The day Putin is put in the ground Russia will start to be a respectable country, until they allow the next dictator to take over ......
 
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