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East Asian country has joined the sanctions and economic tough measures movement against Russia and its allied countries
The Russian invasion of Ukraine has ignited relations with western and other European countries. Military actions of European superpower on its neighbor country took as stonewalling with every other country which tried and made attempts to stop the war from happening. But the Russia-Ukraine war broke out on 24th Feb and is still going on. Since the war emerged, it has seen various actions and reactions across the globe.
Russia has been laden by punitive sanctions from Western and European countries. Along With those sanctions on the trade and economic front, many companies and brands were also compelled to stop their operations and services in the region. Now Japan has also openly called out for action against the country.
Japanese authorities on Monday directed local cryptocurrency exchanges, holding them back from processing any transactions related to digital assets, which are liable to assets under freeze restrictions on Russia and its allied country Belarus because of the ongoing war.
The action of Japan came in response to a statement by Friday Group of Seven (G7), in which western countries have announced that they would enforce penalties on Russian individuals involved in illicit use of crypto assets for transferring their wealth.
In a joint statement, the Financial Services Agency and Ministry of Finance announced that the Japanese Government would take actions against those who transferred cash via crypto assets violation penalties.
Ongoing punitive actions increased on Russia as the United States, European Union, and allies brought more economic pressure. Those actions involved measures to remove Russia from several special trade and economic considerations.
According to US President Joe Biden, the latest actions would collectively damage the Russian financial structure, which was already unstable because of previous sanctions applied by the international community. Previous sanctions have resulted in damage that reflected seen enough as the native currency. Ruble started depreciating; the Russian central bank almost doubled the interest rates, the inflation rate has gone too high, etc.
Among the G7 countries, there is a growing threat that Russian firms could exploit crypto assets and use them as a loophole to avoid financial restrictions that have been imposed since the war started. The US Treasury Department came up with new recommendations mandating US-based crypto exchanges to refrain from transactions with those sanctioned countries.
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Andrew is a blockchain developer who developed his interest in cryptocurrencies while pursuing his post-graduation major in blockchain development. He is a keen observer of details and shares his passion for writing, along with coding. His backend knowledge about blockchain helps him give a unique perspective to his writing skills, and a reliable craft at explaining the concepts such as blockchain programming, languages and token minting. He also frequently shares technical details and performance indicators of ICOs and IDOs.
