Ukrainian Vice Prime Minister Mykhailo Fedorov demand crypto exchanges to freeze all Russian accounts so that the sanction can be effective, but most exchanges did not support this. I read few days ago that cryptocurrencies may not help in Russia sanction but FinCEN concluded that Russia can attempt to use cryptocurrencies to evade sanctions.
FinCEN Provides Financial Institutions with Red Flags on Potential Russian Sanctions Evasion Attempts
What is your take? What role can cryptocurrencies play in helping Russia sanctions evasion and to what extent can this be?
This is rubbish because the cryptocurrency networks do not have the capacity to handle the amount of transactions a country like Russia would need efficiently. Even if it did somehow manage to make this work, sanctions on any individuals or companies would wipe out any potential benefit very clearly - at best this could provide a very short term solution. However it will be of limited benefit to them right now, because the ruble has already plunged so far and a lot of their trade is denominated in foreign currencies, which they cannot get back into the country. Anyone who thinks they're smart by evading financial restrictions in this sort of way could become a huge target and be made an example of by many regulators.