{{articledata.title}}

The European Parliament has passed a tough new law aimed at preventing companies and governments from evading sanctions, including through the use of %Cryptocurrencies.

The new rules were prompted by Russia's invasion of Ukraine and rising concerns among countries in the European Union that financial sanctions on Russia are being violated.

However, while sanctions are adopted at the European Union level, it falls on individual states to enforce those rules, and definitions of sanctions violations and penalties can vary from country- to-country.

The new European law applies to a wide range of financial services, including “crypto-assets and wallets.” The new European sanctions law can freeze assets, including cryptocurrencies.

There are rising concerns that countries and corporations are using cryptocurrencies to skirt sanctions and move money around the world in digital form.

Its use in international money laundering is one of the main criticisms leveled against crypto.

Now that it has been approved in a vote within the European Parliament, the new sanctions legislation must be greenlight by the European Council before becoming law.