The Invisible Weapon: Sanctions, Overcompliance, And The Human Cost
The fear of Unilateral Coercive Measures, or sanctions, is not unfounded. For example: since 2018, the Office of Foreign Assets Control has imposed sanctions against Iran’s use of cryptocurrencies; the decentralized nature of the blockchain no longer offers any immunity. Any exchange or virtual asset service provider with any connection to the United States – whether by being incorporated there, having US customers, or processing transactions in dollars – is required to block transactions, verify IP addresses, and report frozen assets, under threat of multimillion-dollar fines and exclusion from the dollar-based financial system; the same happened with the Petro in the Venezuelan case.