Cryptocurrency exchanges Huobi and KuCoin continue to serve users of sanctioned Russian banks, according to a Politico report. February 24th.
The news publication cited a report from Inca Digital to that effect. Inca’s report specifically suggests that customers of sanctioned Russian banks can use their bank-issued debit cards to trade on one of the exchange’s peer-to-peer cryptocurrency trading platforms.
Huobi and Kucoin reportedly do not receive funds directly from sanctioned banks. However, Inca Digital CEO Adam Zarazinski claims that the above activities directly violate international sanctions, despite the existence of obvious “loopholes”.
The report also identifies shortcomings in Binance’s policies. The exchange is supposedly offering Russian users “multiple ways” to buy cryptocurrencies on exchanges and peer-to-peer markets. This concern exists even though Binance blocked fiat deposits from some Russian payment cards in his March 2022.
Binance has denied these claims. He said he would fully impose KYC regulations, adding that he would filter communications between users to enforce sanctions.
Similarly, a report by Inca Digital suggests that ByBit will allow users to buy cryptocurrencies through peer-to-peer marketplaces and fiat deposits. ByBit has not commented on the matter.
Several exchanges have taken steps to block Russian users. Blockchain.com, Crypto.com and LocalBitcoins took action in October. Coinbase blocked Russian users before March 2022, while Binance added restrictions in April 2022.
