The European Union has introduced its 19th sanctions package against Russia, marking a historic shift by directly targeting cryptocurrency platforms for the first time. Announced by European Commission President Ursula von der Leyen on September 19, 2025, the measures aim to close financial loopholes Russia has exploited using digital assets to circumvent existing sanctions.
The new sanctions prohibit all cryptocurrency transactions for Russian residents and restrict dealings with foreign banks tied to Russia’s alternative payment systems, which have been used to bypass the SWIFT system. The package also blocks transactions with entities operating in Russian special economic zones. Von der Leyen emphasized that the move is a response to Russia's "increasingly sophisticated evasion tactics," including the use of Bitcoin (BTC) and Tether (USDT) by Russian oil companies to conduct tens of millions of dollars in monthly transactions.
The sanctions require unanimous approval from all 27 EU member states and are part of broader efforts to intensify economic pressure on Russia amid escalating missile and drone attacks on Ukraine. The package coincides with plans to phase out Russian liquefied natural gas (LNG) imports by January 2027, accelerating the bloc's energy independence.