The United States government has urged the Japanese government to increase pressure on crypto exchanges and miners who have links with Russia, according to a Financial Times report.
The US authorities continued that the Japanese should work towards ensuring crypto companies operating within its territory sever all ties with Russia.
This is the US’ latest effort to ensure that the Russian economy is isolated from the rest of the world.
The target of the latest call, according to sources privy to the development who spoke with FT, is the 31 crypto exchanges with licenses to operate in Japan.
However, these sources, noted that the US government pinpointed the Irkutsk region in Siberia as a major crypto mining area where activities should be halted.
This area is strategic to crypto mining activities because of its low temperature which favors the operation of the miners and the availability of cheap hydroelectric power.
Japan Renews Call for Exchanges to Sever Russian Ties
Meanwhile, following the demand made by the US, Japan authorities, through the country’s Financial Services Agency, have swiftly renewed calls for exchanges and miners in the country to sever any ongoing ties with Russia.
As of the time of writing this report, neither the FSA nor the US embassy in Tokyo has officially spoken about the development.
US Maintains Stance on Russia Sanctions
However, the US state department in Washington has maintained that the country is united with its allies in ensuring Russia is held responsible for its invasion of Ukraine.
A spokesperson for the State Department reportedly said the government would continue to take measures that ensure the sanctions are enforced.
According to the spokesperson
We will continue to evaluate the impacts of our measures and are prepared to take further measures.
The new move by the US government is unsurprising considering the speculations that Russia could be able to subvert the sanctions through crypto. The crypto community, however, has vehemently denied the possibility of that.
Meanwhile, Japan’s Virtual and Crypto assets Exchange Association (JVCEA) has said it would loosen its policies regarding new token listing.