Cryptocurrencies and stablecoins are not useful for sanction-d | USSR 2.0

Cryptocurrencies and stablecoins are not useful for sanction-dodgers

Though politicians and regulators in America and Europe at first feared that people and entities hit with sanctions would use cryptocurrencies to dodge the restrictions, little evidence of such activity has materialised. Instead, crypto institutions appear to be under the thumb of governments, too. And there has been a huge surge in crypto donations to help the government in Ukraine.

Three fundamental issues block Russian sanction-dodgers from using Decentralized Digital Assets

The lack of necessary infrastructure in Russia such as large exchanges prevent Russians' ability to convert significant amounts from fiat to crypto.

Since using the crypto as a means of payment is still limited, sanction-dodger should at some point leave a cryptosphere. However, a majority of large exchanges (Coinbase, Binance etc.) shows solidarity with regulators and blocks the ability of Russians to convert from crypto to fiat.

As blockchain transactions are public, once identified, it is easy to trace the history of funds. So moving money around in crypto is not as private as is widely thought.

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