Well, cryptocurrency certainly dilutes sanctions!…
Financial sanctions are easier than ever for Russians to evade. Thank Bitcoin - CNN
But digital currencies operate outside the realm of standard global banking, with transactions recorded on a public ledger known as the blockchain.
"If the Russians decide — and they're already doing this, I'm sure — to avoid using any currency other than cryptocurrency, they can effectively avoid virtually all of the sanctions," said Ross S. Delston, an expert on anti-money laundering compliance.
The US Treasury is well aware of this problem. In an October report, officials warned that digital currencies "potentially reduce the efficacy of American sanctions" by allowing bad actors to hold and transfer funds outside the traditional financial system. "We are mindful of the risk that, if left unchecked, these digital assets and payments systems could harm the efficacy of our sanctions."
