The cryptocurrency market is a new business, and there are numerous questions regarding the legal issues of owning digital currency. It means that people should learn more about the laws concerning cryptocurrencies in their countries. One of the examples, how the political situation can affect the crypto market is the case of Bittrex.
Bittrex is a crypto exchange that is trying to return crypto assets to customers who are living in sanctioned nations. This crypto exchange sent a letter to its former clients to inform them about the legal issues connected to cryptocurrencies.
Based on a letter in May of 2018, Bittrex filed an application to receive the permission to return currently frozen funds to its former customers. The good news for crypto owners residing in a country in which the exchange is unable to work that Bittrex obtained the permission.
Crypto market and sanctions
However, there are certain preconditions that the former customers of Bittrex have to comply with, and it is not an easy process. The first step is to create an account at a cryptocurrency exchange. However, it is important to mention that another precondition is that this cryptocurrency is not located in Iran, Syria, Cuba, or Crimea. Also, this country should not be under any sanctions imposed by OFAC. This organization is responsible for foreign assets control in the U.S.
The next step is to fill out a form, and the crypto owner has to specify where to send the funds. It is possible to retrieve the crypto assets by March 15, 2020. This is the last day when former customers of Bittrex can submit the request to get their cryptocurrencies.
Nevertheless, there is one problem that crypto owners will have to deal with when retrieving their crypto assets. The issue is that they have to meet the requirements regarding the minimum withdrawal limit. This limit is three times the transaction fee.
The information about the exact number of users who had to deal with sanctions remains unknown due to the position of Bittrex. The crypto market is developing and some legal problems may arise, but citizens should follow the local laws.