In Response To Requests From Ukrainian Deputy Prime Minister, Binance And Kraken Refuse To Freeze Russian User Accounts
JAKARTA – A few days ago Deputy Prime Minister of Ukraine Mykhailo Fedorov asked global crypto exchanges to freeze the accounts of Russian users. This was immediately responded by the world's largest crypto exchange, Binance.
Binance said it had no intention of freezing Russian user accounts. The Binance spokesperson emphasized that crypto is aimed at providing greater financial freedom. The act of freezing accounts is considered against the goals of the crypto industry itself.
Tensions between Russia and Ukraine are increasing. Since the Russian military invasion, world governments such as the United States, the European Union, and various other powerful countries have imposed heavy economic sanctions on the country led by President Vlamidir Putin.
Following the sanctions, Mykhailo Fedorov urged a number of global crypto exchanges to block all Russian user accounts. This is intended so that various leading crypto exchanges help to defend Ukraine from the Russian invasion.
Cryptopotato reports that Binance will not follow Fedorov's request as most of the accounts belong to “innocent” individuals who have nothing to do with the Russo-Ukrainian war conflict.
"We will not unilaterally freeze the accounts of millions of innocent users," a Binance spokesperson said.
Then Binance also emphasized that the nature of crypto is decentralized which is a symbol of freedom and independence from traditional financial institutions. By following Fedorov's insistence, the purpose why crypto exists will simply disappear.
Binance's decision follows the steps of the Kraken crypto exchange, which had previously rejected the call from the Ukrainian Deputy Prime Minister. Kraken CEO Jesse Powell described Bitcoin and Altcoins as embodiments of libertarian values.
Therefore, it would be a big mistake to freeze all Russian client accounts. In addition, Powell also emphasized that many leading crypto exchanges would oppose a war.