Kraken to stop offering its services to Russians amid heavy sanctions

Jesse Powell’s Kraken has recently registered itself on the list of crypto exchanges restricting Russian users from accessing their products and services. This comes in line with the recent sanctions imposed by the European Union.

Kraken to restrict Russian investors

On October 19, United States-based crypto exchange platform Kraken recently sent out email statements to its Russian users announcing the halt of services to its Russian customers. The company stated:

“Due to the new European legislation, we have to take measures to restrict your Kraken account.”

Russian users reportedly would be allowed to withdraw their funds by request. “We will update our support center if there are any changes,” Kraken added, continuing: “We apologize for the inconvenience caused.”

Though the exchange platform has not specified any time limit funds withdrawal, a spokesperson for Kraken stated:

“Since the EU’s announcement, [the exchange] have been working to make the changes needed to comply with the latest package of sanctions against Russia.”

The most recent restrictions Kraken is subject to are not the first time regulators have ordered centralized exchanges to close down certain accounts.

Former Kraken CEO Jesse Powell criticized the Canadian government in February this year for blocking digital asset wallets used to finance regional COVID-19 protests. He advised cryptocurrency investors to remove their crypto assets from exchange platforms. Moreover, he also warned the public that regulators could force his company to freeze some wallets linked with Russia.

1/6 I understand the rationale for this request but, despite my deep respect for the Ukrainian people, @krakenfx cannot freeze the accounts of our Russian clients without a legal requirement to do so.

Russians should be aware that such a requirement could be imminent. #NYKNYC https://t.co/bMRrJzgF8N

— Jesse Powell (@jespow) February 28, 2022

In accordance with the most recent EU sanctions against Russia for its aggressive actions against Ukraine, Kraken has restricted Russian customers on its platform, joining the growing list of global cryptocurrency exchanges and wallets that have stopped providing services to Russians.

As TheCoinRise reported, several crypto firms, including Blockchain.com, Crypto.com and LocalBitcoins, have ceased operations for Russian investors.