The War Against Crypto Continues As More Countries Launch Sanctions

The crypto industry has long skirmished with regulatory authorities over whether cryptocurrencies are securities that ought to be more strictly regulated, or whether consumers are afforded adequate protection. The Russian invasion of Ukraine, however, shifted the focus of the debate to whether the crypto industry provides enough safeguards against money laundering and other financial crimes. At present, there are 18,162 cryptocurrencies in operation, 460 cryptocurrency exchanges, and a total market capitalization of just under $2 trillion. In this crypto ecosystem, over $91 billion worth of crypto is traded with the majority of transactions involving Ethereum or Bitcoin. Bitcoin and other cryptocurrencies promise relatively anonymous cross-border transactions free from state oversight and unencumbered by the formalities of the conventional banking system. Ordinarily, cryptocurrencies inspire talk of privacy, freedom, and community. Russia was hit by a raft of financial sanctions which effectively blocked a large part of its access to the US Dollar-backed global financial system but some experts have raised concerns that crypto currencies might give an avenue to Russians to preserve their wealth. At the same time, cryptocurrencies may also enable the victims of Russia’s aggression to ease their suffering. The Crypto War Paul Jossey has touted the Russian invasion of Ukraine as the first crypto war, stating that the battle on th...