Dapper Labs, which created the Flow blockchain, Crypto Kitties, and NBA Top Shot projects, has suspended operations with non-fungible tokens for Russian users on its NFT platforms.
The measures were taken after a new package of sanctions was launched by the European Union against Russia in response to military aggression in Ukraine. According to the company, it blocked the Russian citizens’ ability to buy, sell, trade, send any type of NFT, as well as withdraw funds and replenish the balance.
Our partner, who is responsible for processing payments and saving funds, complies with EU rules. Therefore, in accordance with the law, we are forced to suspend operations for residents of Russia, as they are subject to sanctions,the Dapper Labs website reports.
However, existing accounts on NFT platforms have not been deleted, and previously purchased non-fungible tokens remain the property of their users. They have access to and can view their assets.
The decision was made since in addition to tougher EU sanctions against Russia regarding the economy, government and foreign trade, more stringent financial requirements have appeared. In particular, they are related to the commercial activities of European crypto companies. Now they are forbidden to provide any services to users of the Russian Federation. Previously, only accounts that carry out transactions worth more than 10,000 euros fell under the sanctions.
A series of restrictions are expected to follow for Russian citizens from other crypto companies that must comply with European Union sanctions. However, not all global platforms are included in the list of those who are obliged to block transactions for residents of the aggressor country. For example, Binance has told its Russian clients that it will not impose additional restrictions.
On October 6, Brussels approved the eighth package of EU sanctions against a terrorist state, due to the fact that Putin made attempts to annex four Ukrainian regions with the help of fake referendums and announced mobilization.
