A new package of EU sanctions against Belarus: crypto wallets, deposits, disputes...

26.02.2025

• Cryptocurrency wallet restrictions
• Trading Restrictions
• Financial constraints
• Restrictions on the provision of certain types of services
• Transport
• New Rules of Jurisdiction in Dispute Resolution
• "Unfreezing" of payments in the direction of the EU
• A new criterion for falling under sanctions
• Contact our legal team to learn more

On February 24, 2025, a new package of sanctions imposed by the European Union (EU) against the Republic of Belarus came into force. The restrictions were introduced in accordance with Council Regulation (EU) No 2025/392, and Council Decision No 2025/391. The imposed sanctions include trade restrictions (import/export), a ban on the provision of certain types of services/software, restrictions on deposits and the creation/maintenance of crypto wallets. In addition, the Decision introduces a new criterion for the inclusion of Belarusian persons in "blocking" sanctions.

In this article, REVERA's lawyers analyzed the imposed restrictions in more detail. 

Cryptocurrency wallet restrictions

The adopted Regulation introduces restrictions on the provision of services for the creation and maintenance of crypto wallets, other accounts or services for the storage of cryptocurrencies (custodial services). Such restrictions apply to citizens of the Republic of Belarus, individuals residing in Belarus, as well as to legal entities and organizations registered in Belarus, regardless of the amount of funds.

In fact, the ban on creating accounts entails the impossibility of carrying out any operations related to the acquisition, exchange, alienation of tokens on European crypto exchanges. Therefore, we assume that from now, crypto platforms operating in the European Union will refuse to provide any services to Belarusian users: both under the MiCA license (in particular, the OKX exchange) and under national European crypto licenses (Kraken, crypto.com, HTX).

It is important to note that the Regulation expressly provides that such a ban will not apply to citizens of an EU member state, Switzerland, as well as to individuals who have a temporary or permanent residence permit in the EU, Switzerland.

In relation to other entities, the provision of services for the creation/maintenance of crypto wallets may be authorized by the competent authorities of the EU, if it is necessary:

• to meet basic needs (payment for food, rent, medicines or medical care); 
• payment of fees for legal services; 
• extraordinary expenses; 
• official purposes of a diplomatic mission; 
• payment of commissions and fees of wallets or accounts; 
• non-prohibited cross-border trade between the EU and the Republic of Belarus.

Also, from March 26, 2025, citizens of the Republic of Belarus and individuals residing in Belarus are prohibited from directly or indirectly owning, controlling or holding any position in governing bodies in European crypto companies. Presumably, "governing bodies" include the positions of director or member of the board of directors (if the company has a collective executive body).

Trading Restrictions

With the adoption of new EU restrictions, the ban on the export to Belarus of dual-use goods and technologies, as well as goods and technologies that can contribute to the technological improvement of the defense and security sector, such as software related to numerical control (CNC), machines, chromium ores and compounds and controllers used to guide unmanned aerial vehicles (UAVs) are being introduced. Additional restrictions on the export of goods contributing to the development of Belarusian industry, including chemical elements, pyrotechnics and combustible materials, as well as on the transit of certain goods through the territory of Belarus. 

The Regulation highlights restrictions on the provision of software, including a ban on its sale, supply, transfer, export or use related to oil and gas exploration. Until May 26, 2025, there is a transition period for the execution of relevant contracts concluded before February 25, 2025. In addition, a ban has been introduced for the public sector on the provision of software related to industrial design, production and management of enterprises.

With regard to the import of goods into the EU, the Regulation imposes restrictions on primary aluminium.

Financial constraints

Restrictions on accepting deposits over 100,000 euros in one credit institution from legal entities, enterprises or organizations registered in third countries are expanded, if the controlling stake (more than 50%) belongs to citizens of Belarus or individuals residing in Belarus. Previously, restrictions on deposits in EU credit institutions applied only to residents of Belarus.

Restrictions on the provision of certain types of services

The EU imposes a ban on the provision of construction and engineering services. Such a ban applies only to the public sector of Belarus, including companies that are 50% or more owned by the state, as well as those that act in its interests. The ban does not apply to individuals or companies where the state does not have direct involvement and control.

The restriction in question on the provision of construction services does not apply if such services are necessary for the work of consulates or diplomatic missions of Belarus in the EU countries (with the consent of the competent EU authorities), as well as for the construction of infrastructure facilities up to 25 m related to energy supply and energy distribution for educational and medical institutions in Belarus.

As with other services, such as IT or legal, the Regulation provides for several additional exceptions (e.g. humanitarian purposes, etc.).

Transport

In the summer of 2024, as part of the next package of sanctions, the EU established that legal entities, organizations or bodies registered in the EU and owned by Belarusian individuals or legal entities by 25% or more cannot operate as road transport enterprises transporting goods through the EU, including the transit of goods. 

The new restrictions impose a ban on transport companies registered in the EU before April 8, 2022 to change the corporate structure if this leads to an increase in the share of Belarusian ownership above 25%. Thus, in the remainder of the Regulation, the Regulation does not prohibit companies from continuing to work on road transport if the "Belarusian share" remains below 25%.

New Rules of Jurisdiction in Dispute Resolution

In the summer of 2024, the EU introduced a "compensatory judicial mechanism" for its residents, which allows European businesses to recover through a court in an EU country all amounts awarded to their sanctioned counterparty (opponent) in a Belarusian court, including legal costs. Recall that in 2023, Belarus adopted the Law of the Republic of Belarus No280-Z "On the Application of Special Restrictive Measures", which allows Belarusian courts to consider "sanctioned" disputes on the merits, even if the parties have chosen a foreign court or arbitration as the dispute resolution body in the contract.

The new restrictions have expanded the list of defendants from whom EU residents can recover such damages. Now they include not only their counterparties (residents of Belarus), but also beneficiaries, owners, controlling persons, organizations and state bodies associated with such a counterparty.

In addition, in the field of litigation on disputes under consideration, the Regulation introduces the principle of "forum necessitatis", which, in fact, gives the courts of the EU countries the right to consider such claims for damages. 

"Unfreezing" of payments in the direction of the EU

As an exception to the "freezing" of funds transferred from Belarus or a third country to the EU and blocked due to the participation of Belarusian sanctioned persons in such transactions (direct or indirect participation), the competent authorities of the EU countries may allow their unblocking if the payment is made between non-sanctioned parties and using bank accounts that are also not subject to restrictions.

A new criterion for falling under sanctions

The EU Council has expanded the criteria for including Belarusian individuals and legal entities in the list of personal restrictions. Restrictions may now apply to those who are connected with the military-industrial complex of Belarus, provide it with material or financial support or benefit from it.

Authors: Aliaksei Fedarovich, Gleb Yakushev, Palina Filiptsova

---

Dear journalists, use of material from the REVERA website in publications is only possible with our written permission. 

To approve material, please contact i.antonova@revera.legal or Telegram: https://t.me/PR_revera