New Russian no-KYC crypto exchanges continue to emerge, although inflows are declining due to sanctions.
Effectiveness of Sanctions
According to Chainalysis, sanctions imposed by the US and international community are effective in reducing transaction volumes despite new platforms emerging. Overall inflows to these platforms are declining.
Legal Accountability Challenges
Most new platforms lack formal incorporation or registration, making it difficult to determine their legal jurisdiction, thus complicating enforcement efforts.
Government Reaction and Power Grid Issues
The Russian government has intensified efforts to block cryptocurrency activities, including major platforms. There are growing concerns over data collection practices related to mining. Illegal mining continues to strain the power grid, resulting in significant losses.
Russian no-KYC crypto exchanges continue operating despite governmental attempts to control the situation. However, the impact of sanctions significantly limits their activities.
