EU Crypto Regulation Bars Belarusian Control of European Service Providers

The European Union has extended its crypto regulation to bar Belarusian control of European crypto service providers. The restriction covers exchanges, transfers, advice, and portfolio management. From August 25, covered firms must apply the expanded prohibition.

The EU's Council Decision (Common Foreign and Security Policy) 2026/1847 amended the bloc's Belarus sanctions framework on July 23. It linked the measures to Belarus's involvement in Russia's war against Ukraine. The decision prohibited Belarusian nationals and residents from owning or controlling covered European entities.

The revised text covered entities providing services defined under Regulation (EU) 2023/1114, commonly known as MiCA regulation. Covered activities include operating trading platforms, exchanging crypto assets for funds or other tokens, order execution, transmission, placement, transfers, advice, and portfolio management.