Key facts
- EU will ban Belarusian nationals and residents from owning or managing crypto exchanges and other MiCA-regulated service providers from August 25.
- The measure is part of the EU's sanctions framework targeting Belarus for its involvement in Russia's war against Ukraine.
- This expands a previous restriction that only applied to crypto wallet, account, or custody services.
- The decision enters into force on July 24, with the expanded crypto provision applicable from August 25.
- The EU also extended transaction bans to 14 crypto-related platforms outside the bloc as part of its 21st sanctions package against Russia.
The European Union has decided to broaden its sanctions against Belarus by prohibiting Belarusian nationals and residents from owning, controlling, or managing any crypto service providers regulated under the Markets in Crypto-Assets (MiCA) framework. This expanded restriction, effective August 25, builds upon existing measures targeting Belarus for its complicity in Russia's war against Ukraine.
The decision, adopted on Thursday, amends the EU's sanctions framework and specifically targets entities providing services beyond just crypto wallets, accounts, or custody. Under the new rules, Belarusian individuals and residents are barred from holding ownership stakes or positions on the governing bodies of EU-based crypto firms offering services such as trading platforms, order execution, asset transfers, or investment advice.
This move follows the conclusion of MiCA's transition period on July 1, after which unauthorized crypto companies were required to cease operations. The EU's increased scrutiny on crypto platforms is part of a wider effort to prevent Russia from evading sanctions. In its 21st sanctions package against Russia, the EU also extended transaction bans to 14 crypto-related service platforms located outside the bloc and established a mechanism to penalize any foreign crypto provider aiding Russia in sanctions evasion.