UK targets Putin’s cryptocurrency networks in latest sanctions
A new package of UK sanctions aimed at funding Russia’s war effort will target crypto networks.
They target cryptocurrency exchanges and the “A7 network,” which the State Department says is being used by Russia to evade existing restrictions and fuel its war against Ukraine.
Foreign Secretary Yvette Cooper said the UK would continue to work with its allies to expose, disrupt and dismantle such networks and that there would be no “safe havens” for those enabling Russian aggression.
He said: “The Kremlin is greatly mistaken if it thinks it can evade our sanctions by hiding behind crypto networks and shadow financial systems.
“The UK is adapting and strengthening our approach to targeting the evolving tactics Russia uses to evade restrictions.
“As we increase the pressure on Russia on the Ukrainian battlefield, we are also going after the infrastructure that supports the war economy.
“We are tracking down and shutting down the financial lifelines that keep Putin’s war machine afloat.”
The ministry said the “A7” gang used a Kyrgyz bank suspected of facilitating payments for the network, as well as a major global cryptocurrency exchange that authorities suspect had funneled more than $1.5bn (about £1.1bn) back into the hands of the Kremlin.
The Ministry of Foreign Affairs said that the package consisting of 18 names will come into effect immediately.
It comes after a new sanctions package last week sparked criticism that it included trade licenses allowing imports of jet fuel and diesel refined from Russian crude from third countries due to rising costs as a result of the conflict in the Middle East.
Ministers denied that this regulation amounted to the easing of sanctions aimed at damaging Moscow’s economy.
Sir Keir Starmer last week insisted they had gone “well beyond” existing measures but said two “short-term licenses” had been granted to “phase in” the new sanctions.
