European Union Extends Belarus Crypto Ownership Restrictions Across All Service Categories
Starting August 25, the European Union will prohibit citizens and residents of Belarus from owning, controlling, or managing cryptocurrency exchanges and other crypto businesses regulated under MiCA.
Beginning Aug. 25, the European Union will implement a prohibition preventing Belarusian nationals and individuals residing in Belarus from owning, controlling, or managing cryptocurrency exchanges and additional crypto service providers that fall under the Markets in Crypto-Assets (MiCA) regulatory framework.
This provision is detailed in Council Decision (CFSP) 2026/1847, which was passed on Thursday to modify the EU's existing sanctions regime aimed at Belarus due to its participation in Russia's military aggression against Ukraine. The updated document broadens a previously established limitation that was exclusively applicable to businesses offering crypto wallet services, account services, or custody solutions.
The official entry into force date for the decision is July 24, though the broadened crypto-related provision becomes applicable starting Aug. 25.
According to the amendment's terms, individuals holding Belarusian nationality or residency are barred from owning or exercising control over any EU-located entity that provides "any other crypto-asset services" as outlined within MiCA regulations or from occupying any position on such an entity's governing body.
The service categories defined under MiCA encompass operating cryptocurrency trading platforms, facilitating crypto asset exchanges, executing and transmitting orders on behalf of clients, placing crypto assets, enabling crypto asset transfers, delivering investment advice, or managing investment portfolios.
EU expands crypto sanctions after MiCA transition ends
This expansion of sanctions arrives just weeks following the conclusion of MiCA's transitional implementation period on July 1. Cryptocurrency businesses operating without proper authorization received directives to cease operations or risk facing enforcement measures.
The restriction targeting Belarus aligns with the EU's wider initiative to confront crypto platforms and financial networks that stand accused of assisting Russia in circumventing sanctions levied against it for its military campaign in Ukraine.
On Thursday, within the framework of its 21st package of sanctions directed at Russia, the EU broadened its transaction prohibition to encompass 14 cryptocurrency-related service platforms operating beyond the bloc's borders and unveiled a framework enabling it to ban transactions with any international crypto provider determined to be facilitating Russia's sanctions evasion efforts. The finalized package represents an expansion of the June 11 proposal, which had initially identified 11 crypto platforms.
The proposal emerged in the wake of the United Kingdom's May 26 sanctions imposed on Huobi Global S.A., the Panama-registered corporation operating HTX, based on allegations of providing support to Russia-connected financial networks that involve sanctioned entities A7 and Garantex.
HTX rejected the allegations of wrongdoing, informing Cointelegraph that regulatory compliance "remains our absolute top priority" and emphasized that it maintains strict adherence to regulatory frameworks applicable in the jurisdictions where it conducts operations.