The world’s largest cryptocurrency exchange by trading volume is limiting services in Russia, one of its biggest markets, following the European Union’s latest sanctions on Moscow.
Binance Holdings Ltd. Will reduce its offerings for Russian individuals or entities based there who have crypto assets exceeding the value of 10,000 euros ($10,885), the company said in a blog post, confirming an earlier Bloomberg report.
Russia is one of Binance’s top five markets globally with about 10 million total accounts, two people familiar with the matter said. It’s estimated that fewer than 50,000 actually hold a value exceeding 10,000 euros, one of the people said.
Earlier this month, the EU approved a ban on higher-value crypto transactions with Russia, part of sweeping sanctions triggered by the attack on Ukraine.
“While these measures are potentially restrictive to normal Russian citizens, Binance must continue to lead the industry in implementing these sanctions,” Chief Executive Officer Changpeng Zhao said in emailed comments. “We believe all other major exchanges must follow the same rules soon.”
Accounts impacted by the restrictions will be put into withdrawal-only mode, and no deposits or trading will be permitted. Russian nationals and legal entities established in Russia with crypto account balances exceeding 10,000 euros will have 90 days to close their positions, according to Binance.
The firm said the changes won’t impact non-sanctioned Russians who can confirm by proof-of-address verification that they live outside the country.
Zhao told Bloomberg last month that Binance has complied with international government mandates to restrict sanctioned individuals, but that to expand that further would be “unethical,” echoing sentiment from other crypto executives.
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