The Ukrainian government sanctioned 60 companies and 73 people accused of facilitating cryptocurrency transactions to circumvent sanctions imposed on Russia. President Volodymyr Zelensky signed the decree on July 6, targeting both Russian and foreign companies involved in financial schemes.
According to local media reports, the new decision freezes the assets of the penalized entities on Ukrainian territory and prevents them from conducting business activities in the country. The president stated:
I just signed a new sanctions package – these are special measures targeting multiple Russian financial schemes, especially those related to cryptocurrencies, he wrote.
Among the 55 companies based in Russia affected, there are 19 miners, 17 digital asset system operators, and 19 firms linked to the country's financial infrastructure, such as payment equipment manufacturers and intermediaries in international transactions. Additionally, five crypto exchange operators were also sanctioned.
What happened?
The decree also targets entities outside of Russia, such as TOKENTRUST HOLDINGS LIMITED, based in Cyprus, EXMO RBC LTD from Kazakhstan, and three companies located in the United Arab Emirates. Some of these organizations were already on U.S. sanctions lists.
Zelensky stated that the initiative aligns with measures adopted by international allies, but also represents an independent effort by Ukraine to disrupt financial flows with cryptocurrencies that benefit the Russian military complex. He cited the case of a single company, now sanctioned, that moved several billion dollars since the beginning of the year.
We will end all these schemes. Now, with many of Russia's traditional financial channels blocked, they are increasingly turning to transactions with cryptocurrencies, the president stated.
Ukraine will follow the cryptos until it finds Russian agents
In addition to the companies, the decree affects 73 individuals, including executives, owners of the penalized companies, and employees of the Central Bank of Russia.
Zelensky also announced that the Ukrainian government will introduce measures next week to harmonize the country's sanctions with the European Union's packages, reinforcing its commitment to blocking Russian financial flows.
The expansion of sanctions reflects the growing international concern over the use of digital assets in geopolitical conflict scenarios. Crypto assets have been used not only to escape economic restrictions but also in espionage operations. BeInCrypto previously reported that Israeli authorities arrested suspects of espionage for Iran, paid in crypto.
The article 'Ukraine sanctions companies linked to Russia's crypto evasion' was first seen on BeInCrypto Brazil.