WalletConnect, the Web3 communications protocol, compiled with the Office of Foreign Assets Control (OFAC) and geo-blocked the users in Russia and certain parts of Ukraine. The protocol made it clear that this was following the guidelines of the US Treasury and that the related report which said that there were further restrictions on many non-sanctioned countries as well, was not true.
The update was posted on the official X account of WallConnect. The post read that WalletConnect has restricted the availability of the Protocol in Russia and certain parts of Ukraine from Oct 30. It also said that the services were resumed in Ukraine from Oct 31 onwards. The post came on the night of Oct 31 and said that the new changes complied with the legal guidelines put forward by the OFAC.
The post continued that the protocol apologized for all the inconveniences caused due to all these and they thanked their users for their patience and understanding. The post also had a note from the CEO of WalletConnect.
WalletConnect CEO Says That
Pedro Gomes, the CEO of WalletConnect had a note for the community. It read that the protocol has restricted its availability in Russia adhering to the latest legal guidance from IFAC. The restriction came into effect on 30 October, Monday.
The note continued to say that as part of this restriction on Russia, the protocol has also restricted the Ukraine IP addresses until they could compliantly switch back to the Ukraine areas that were not impacted by the transactions. As of the morning of October 31, WalletConnect has re-enabled the Ukraine IP addresses to use the protocol.
The CEO continued to say that in light of all these some incorrect reports have surfaced which said that it has also blocked some other non-sanctioned countries. Pedro confirmed that no other countries have been blocked and that anyone who wants to visit the terms and conditions can find them at walletconnect.com/terms.
He in his note made an apology for all inconveniences caused to any of the users as a result of the recent events. He said that the protocol would continue to follow the guidelines and would keep their community updated if there were any further changes.
US Fighting Crypto Terror Fund Raising
The U.S. has been restricting the crypto gateways In Russia and certain other Middle Eastern countries concerning the geopolitical tensions between nations which are at their peak, right now. The nation made it clear that along with its policymakers and the Department of Treasury, it was attempting to introduce more and more legislation to fight against the terror and war that is making use of crypto. Also, the nation said that it would be cracking down on terror financing in which particular organizations were making use of the crypto platforms to raise funds to enable their activities. There have also been reports that particular organizations have been planning crypto terror fundraising.
Recently, Elizabeth Warren, the US Senator from the state of Massachusetts, has pushed the administration with others to pass the bill to combat terror fundraising through crypto. Also, the FinCEN (Financial Crimes Enforcement Network) published new laws, right now under consideration to bring the crypto mixing services under control as well.