EU Grants Regulatory Bodies Authority to Block Crypto Platforms from Third Countries

cryptonews.ruPublicado em 2026-08-18Última atualização em 2026-08-18

Resumo

The European Union has expanded its sanctions targeting the use of cryptocurrencies to circumvent restrictions against Russia. The new measures, part of the 21st sanctions package, empower the EU to impose nationwide blocks on crypto platforms. A key provision allows the EU to blacklist entire third countries if their jurisdictions systematically fail to prevent sanctioned Russian and Belarusian individuals from using crypto asset services. This grants the sanctions an extraterritorial reach. The package also broadens existing prohibitions, banning Russians and Belarusians from holding positions or controlling crypto service providers within the EU, effective August 25. Experts note this shift represents a move toward secondary sanctions and could create legal conflicts in jurisdictions where local laws contradict EU measures.

The EU has taken steps to expand the scope of its cryptocurrency sanctions against Russia, introducing the possibility of nationwide blocks, which will facilitate the targeting of exchanges in countries that systematically allow Russian citizens to evade sanctions using crypto assets.

In the new 21st package of sanctions against Russia, approved on July 23, the EU added 4 entities related to the A7 "Ruble" network, which also became the target of sanctions by the UK government in May. The new EU provisions sever ties with African organizations, imposing a ban on transactions for 14 crypto services in Georgia, Panama, the UAE, the Marshall Islands, Kyrgyzstan, and Belarus.

These additions follow the radical measures introduced in the previous sanctions package, which targeted the entire Russian cryptocurrency industry.

However, beyond that, two new provisions aim to deprive Russians of the ability to use cryptocurrency to support military operations. The first, effective August 25, expands the ban on ownership, control, or holding positions by Russians and Belarusians in crypto services based in the EU.

These restrictions, first introduced on January 18, 2024, now extend to any other crypto-asset services described in the Markets in Crypto-Assets (MiCA) regulation, including advisory services, portfolio management, and services for transferring funds on behalf of clients, as stated in Article 5b of Council Regulation (EU) 2026/1848 of July 23, 2026, amending Regulation (EU) No 833/2014.

The second provision establishes a ban on cryptocurrency transactions with entire countries if service providers do not comply with these sanctions, giving them an extraterritorial status.

Article 5bc of the amendment to Regulation 833/2014 states that "it shall be prohibited to directly or indirectly carry out any transactions with a legal person, organization, or body that is a crypto-asset service provider or a platform facilitating the exchange or transfer of crypto-assets and is registered in a third country."

Furthermore, the regulation clarifies that this list of countries, currently empty, "shall include only those third countries that have been identified by the Council as systematically and persistently failing to prevent the provision of crypto-asset services or to stop the activities of platforms facilitating the exchange or transfer of crypto-assets."

According to Nick Turner, an economic sanctions expert, this shift means the EU is leaning towards imposing secondary sanctions after a long history of opposing them. He also emphasized that this could lead to legal conflicts in jurisdictions where national regulation contradicts EU sanctions.

"Under the new Article 5bc, regulatory authorities of a country are responsible for failing to stop activities subject to EU sanctions, regardless of the country's own legislation," he stressed. Turner believes this measure will initially be used as a diplomatic lever, explaining that "it's hard to say" whether these measures will directly affect any country.

Perguntas relacionadas

QWhat new enforcement power has the EU granted its regulatory bodies regarding crypto-asset service providers?

AThe EU has granted its regulatory bodies the authority to block crypto-asset platforms and service providers registered in third countries. This is stipulated in the newly added Article 5bc of the sanctions regulation amendments, allowing for national-level bans against platforms that facilitate transactions enabling sanctions evasion.

QWhich countries had crypto services added to the EU's sanctions list in the latest package?

AIn the latest sanctions package, the EU added 14 crypto-asset service providers in Georgia, Panama, the United Arab Emirates, the Marshall Islands, Kyrgyzstan, and Belarus to its prohibited transactions list.

QWhat specific new restriction for Russians and Belarusians comes into force on August 25, according to the article?

AA restriction coming into force on August 25 expands the ban on Russians and Belarusians owning, controlling, or holding management positions in EU-based crypto-asset service providers. This ban now extends to other crypto-asset services defined under the MiCA regulation, including advisory, portfolio management, and crypto-asset transfer services for clients.

QAccording to sanctions expert Nick Turner, what significant policy shift does the new measure (Article 5bc) represent for the EU?

AAccording to sanctions expert Nick Turner, the new Article 5bc represents a significant policy shift where the EU is leaning towards implementing secondary sanctions, after a long history of opposing such measures. This could potentially create legal conflicts in jurisdictions where national regulation contradicts EU sanctions.

QWhat criterion must a third country meet to be included on the list for EU crypto-platform blocking measures under Article 5bc?

AUnder Article 5bc, a third country will be included on the list only if the EU Council determines it has been systematically and persistently failing to prevent the provision of crypto-asset services or the operation of platforms that facilitate the exchange or transfer of crypto-assets in a way that circumvents sanctions. The list is currently empty.

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