Business

US lawmakers introduce bills that could force crypto exchanges to cut ties with Russian wallets

Representative Brad Sherman will introduce a bill in the House of Representatives that would prevent US businesses from processing cryptocurrency transactions for Russian banks and individuals.

Speaking at a landmark meeting in conjunction with the House Financial Services Committee on Thursday, Sherman speak He will introduce a bill accompanying Senator Elizabeth Warren’s law that would give the Biden administration “explicit authority to require crypto exchanges subject to U.S. law to stop facilitating cryptocurrency exchanges.” dealing with crypto wallets based in Russia”. First Warren announced legislation on March 8, then said during the Senate Banking Committee hearing She will introduce the bill on Thursday.

Neither text of the bill was available through congressional records at the time of publication. However, Warren’s proposed law will be reported as give The Treasury Department has the authority to prevent cryptocurrency exchanges under US jurisdiction from processing transactions from any crypto addresses belonging to Russian citizens. Additionally, U.S. taxpayers will be required to report any crypto transactions outside of the country in excess of $10,000 to the Financial Crimes Enforcement Network or FinCEN.

“[I] looking forward to joining my colleagues in ensuring that one of the tools available to management is the ability to notify crypto exchanges if they are doing business in the US they are unable to do business. business with crypto wallets based in Russia until Sherman said.

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Representative Brad Sherman speaks before the House Financial Services Committee on Thursday

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Sherman, who has previously made a number of anti-crypto statements including calling for a ban on digital assets, quoted Ukraine’s Minister of Digital Transformation as saying. ask for all exchanges “to block addresses of Russian users” does not seem to limit the ban to individuals and businesses named in the US and EU sanctions. Binance CEO Changpeng Zhao speak the company will comply with sanctions but not block transactions connected to all Russian crypto wallets, while Kraken CEO Jesse Powell speak there would be a legal requirement for the exchange to freeze Russian accounts.

A spokesperson for Binance told Cointelegraph in February. “We will not unilaterally freeze millions of innocent user accounts.

Michael Chobanian, founder of Ukrainian crypto exchange Kuna, speak on Thursday, the platform discontinued “all support for the Russian ruble.” However, his appeal to crypto exchanges includes blocking “any interaction with sanctioned individuals,” apparently not all wallets held by Russian nationals. headquarters in the country or abroad held.