Cryptocurrency exchange Binance is imposing restrictions on clients from Russia following the EU’s fifth package of sanctions against Russia over the tragic events that unfold in Ukraine. The exchange said in a press release that it is required to limit services for Russian nationals or natural persons residing in Russia, or legal entities established in Russia, that have crypto "exceeding the value of €10,000."
Binance says those clients with the above-mentioned amount of capital who fail to confirm that they don't live in Russia will be put into withdrawal-only mode. The exchange added:
No deposits or trading will be permitted on these accounts. The limit also covers all spot, futures, custody wallets, and staked and earned deposits.
As part of the changes, deposits to accounts for those residing in Russia with over €10,000 will be restricted as well. They will also be given 90 days to close out their positions. Those accounts that have less than €10,000 will remain unaffected and active, Binance added.
Binance is considered one of the main cryptocurrency exchanges in Russia. According to data from SimiliarWeb, the exchange had over 114 million visits in March alone. The move is expected to slow the growth of the Russian crypto market, which, according to Russia's prime minister Mikhail Mishustin, is valued now at almost $125 billion:
We clearly understand that today over 10 million young people have opened crypto wallets, to which significant funds have already been transferred, exceeding, according to various estimates, 10 trillion rubles.
In the meantime, the US Treasury made the first in its history strike against a crypto mining firm. The Department of the Treasury's Office of Foreign Assets Control (OFAC) added Russian crypto mining firm BitRiver to its sanction list for operating in the technology sector of Russia.