Binance commented on the lifting of restrictions for Russians

Binance commented for RBC Crypto a message about the removal of restrictions for the accounts of Russians. Earlier, the technical support of the exchange confirmed the absence of a limit of €10,000, which was introduced in the spring of 2022 for users from Russia in connection with the sanctions of the European Union (EU).

Binance reported that Binance legal entities registered in the jurisdiction of the EU are completely prohibited from providing services in the EU and the EEA (European Economic Area) to legal entities and citizens of Russia, with the exception of certain categories of persons. In the EU, these restrictions are applied by the platform in full.

“All current restrictions related to sanctions against Russian citizens are applied by the platform and its legal entities in the European Union in full. In accordance with the European Union (EU) sanctions rules against Russia, Binance legal entities registered in the jurisdiction of the EU are prohibited from providing services in the EU and EEA to legal entities established in Russia, as well as citizens of Russia, with the exception of the category of persons who are citizens of or residents of the EEA or Switzerland,” Binance said in a statement.

A complete ban on the provision of cryptocurrency services to Russians in the EU was introduced in October 2022 in the eighth package of sanctions. The European Union has banned Russians from owning crypto wallets in the EU, regardless of the amount of funds, thereby tightening the previously set limit of €10,000.

At the moment, there is some confusion, because a number of sources began to contradict each other, Dmitry Machikhin, the founder of the BitOK service, notes. He explained that licensed platforms in Europe are required to comply with financial restrictions and there have been no lifting of sanctions at the EU level against Russian users.

However, in connection with the eighth package of EU sanctions (to completely ban crypto wallets), Binance did not report any additional restrictions for Russians. In addition, the Terms of Use of the Binance platform, which is provided to Russian users, currently states that Hong Kong law applies in resolving legal disputes. In the thematic Telegram channels, user messages about the removal of restrictions continue to appear.

Now Binance is a group of companies established in different countries, says Andrey Tugarin, a lawyer and managing partner at GMT Legal. He explained that each of the companies of the group maintains its own records of funds and transactions of users and complies with its own legislation.

According to the lawyer, with a high degree of probability, users from Russia were “transferred” to another legal entity Binance, which allowed, on the one hand, to stop all work of European legal entities of Binance with the Russians and thereby strictly comply with the current EU sanctions, and on the other on the other hand, to provide the opportunity for Russians to maintain their accounts on Binance through another legal entity.

Source: Cryptocurrency

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