The European Union is preparing a new round of sanctions that could significantly increase pressure on companies and organizations accused of helping Russia bypass existing restrictions.
Under the proposed package, the European Commission wants to sanction 20 non-EU entities, including several cryptocurrency platforms that are alleged to have provided services to sanctioned Russian individuals and businesses.
European Commission President Ursula von der Leyen said the goal is to close loopholes that Russia may be using to avoid the impact of current sanctions. The new measures would expand transaction bans and could give the EU the power to block crypto services coming from entire countries if those jurisdictions host platforms that help sanctioned Russian actors continue operating.
If approved, it would mark the first time the European Union imposes a country-level ban on foreign crypto services linked to sanctions evasion.
The proposal comes as regulators around the world increase their focus on cryptocurrency networks that may be used to move funds outside traditional financial systems. Blockchain analytics firms have reported significant crypto activity connected to Russia, including billions of dollars in transactions involving the ruble-backed stablecoin A7A5.
Authorities in several countries have already taken action against crypto businesses suspected of supporting sanctioned networks. Earlier this year, the United Kingdom imposed sanctions on a company linked to the HTX crypto platform over allegations of involvement with a Russia-connected financial network. The United States has also targeted several cryptocurrency exchanges accused of helping sanctioned entities move money through digital assets.
At the same time, Russia is moving in the opposite direction by developing a new regulatory framework for cryptocurrencies. The country is expected to introduce rules that would create licensed domestic crypto trading platforms and establish a more formal structure for digital asset activity.
Beyond crypto, the EU’s latest sanctions package also includes additional measures aimed at Russia’s energy and trade sectors. New restrictions could target oil-related activities and, for the first time, parts of Russia’s fishing industry.
European officials say the broader objective is to further weaken the financial resources supporting Russia’s war effort and reduce opportunities to bypass international sanctions.
