Bitcoin News and Finance
Court Orders Russia’s Sberbank to Unblock Crypto Trader’s Accounts Skip to main content

Court Orders Russia’s Sberbank to Unblock Crypto Trader’s Accounts

Court Orders Russia’s Sberbank to Unblock Crypto Trader’s Accounts

A court has ordered one of Russia’s largest banks to lift restrictions imposed on the accounts of a Russian citizen who was selling digital coins on cryptocurrency exchanges. The state-owned giant Sberbank will now have to unblock its client’s cards and restore his access to its online banking platform.

Regional Court in Russia Rules in Favor of Crypto Trader Suing Sberbank

The plaintiff identified as Pavel R., a resident of Revda in Sverdlovsk Oblast, had accounts and cards issued by Sberbank and was also offered remote banking services as per his contract. Between May and August last year, he received regular deposits from other individuals and withdrew the money.

The bank decided these were unusual transactions that could be linked to money laundering and blocked Pavel’s accounts and cards. He was asked to prove the source of the funds, explain the purpose of the transactions and told that any future operations should be ordered in person.

Court Orders Russia’s Sberbank to Unblock Crypto Trader’s Accounts

But even after Pavel presented all the necessary documents showing the transfers were linked to the sale of cryptocurrency on various exchanges and filed a claim with the bank, the restrictions remained in place. Convinced the bank’s actions contradicted the law, the Russian crypto trader filed a lawsuit with the Revdinsky City Court, but the court of first instance turned down his request to restore access to his accounts.

Sberbank’s client then submitted an appeal with the Sverdlovsk Regional Court. The court agreed that the bank had the right to suspend its services to the plaintiff but noted that even after receiving evidence indicating the nature of the transactions, the defendant did not lift the imposed restrictions and didn’t respond to Pavel’s claim.

In a press release, the Sverdlovsk Regional Court pointed out that while crypto trading was not regulated by Russian law at the time of the dispute, it was not prohibited either. It also elaborated:

Since the client disclosed the economic meaning of the transactions and indicated the source of the funds, the Bank had no reason to maintain the blocking of the bank cards and limit the provision of remote banking services.

The regional court disagreed with the Revdinsky City Court’s conclusion that Pavel’s rights were not violated. “Under the terms of the contract, the Bank is obliged to not only open and maintain an account, but also provide an additional remote banking service that allows the client to use the account without visiting the Bank’s offices. However, at the moment Pavel R. is deprived of such opportunity,” the judges explained.

Sberbank has been obliged to restore Pavel’s access to its online services and unblock his cards and accounts. The Russian bank will also have to cover the costs of the legal proceedings in Sverdlovsk region.

What are your thoughts on the court case between the Russian crypto trader and Sberbank? Let us know in the comments section below.

Labels:

Comments

Post a Comment

Popular posts from this blog

Custodial Lightning Network Service Attack Discovered by LN ‘Newbie’ — Hacker Strikes 6 LN Custodians

On September 18, a Redditor posted to the r/bitcoin forum and explained how he discovered a way to “attack [the] lightning Network’s custodial services.” The Reddit account dubbed “Reckless Satoshi” wanted to figure out if a “discrepancy between real routing fees and service’s transaction fee can be exploited for a profit.” The researcher disclosed that he wanted to see how large the damage could be and said “it is bad.” 6 Lightning Network Custodial Services Attacked, Researcher Discloses Findings to Offenders Prior to Public Disclosure A Redditor called Reckless Satoshi published a disclosure post on r/bitcoin this past Saturday and disclosed how he had found a vulnerability with routing fees and some of the Lightning Network’s custodial services. The research attack was done in good faith and after it was complete he disclosed the bugs to the offending services before publishing his findings. Reckless Satoshi used the Lightning Network (LN) attack on six different services incl...
Post a Comment
Read more

Axie Infinity Down 40% Since Last Week’s Price High, Protocol Revenue Outshines Competitors

Last week, the game token leveraged within the Axie Infinity gaming universe skyrocketed to all-time highs, while other crypto markets remained extremely lackluster. During the last seven days, Axie Infinity’s platform token has dropped significantly in value shedding more than 12%. Meanwhile, the game platform’s smooth love potion token has slid over 8% over the last 24 hours. Axie Infinity Down More Than 40% Since All-Time High Not too long ago, the axie infinity (AXS) token was a topical conversation because it reached an all-time high on July 15. At the time, AXS managed to capture $28.93 per unit and since then it has shed 12.8% during the last seven days. The axie infinity (AXS) token is used within the blockchain-based game that involves battles between token-based creatures called “Axies.” AXS is used for the game’s governance system as well as other actions within the game. At the time of writing axie infinity (AXS) is exchanging hands for $16.70 per coin. AXS/USD on Ju...
Post a Comment
Read more

Play-to-Earn Game From Polker (PKR) Exchange Listing – Endorsed by Akon

The Play-to-Earn NFT based Polker.Game ‘s native token $PKR has been officially listed on the popular centralized exchange BitMart. Polker.game has been in the spotlight recently as Akon, the American R&B superstar and record producer gave his official endorsement of polker stating that the “game is revolutionary” and that Polker is “hands down.. the best play to earn, NFT game in the space.”. With the BitMart listing and celebrity endorsement from Akon, Polker is perfectly positioned to become a major player in the Play-to-Earn league. Watch Akon’s Video Here What is Play-to-Earn? Although not a new concept, play-to-earn has become a trending term due to the popularity of the NFT game AXIE infinity. In the past, previous play-to-earn games have also achieved success – however, thanks to the huge amount of development in the blockchain space in recent years the gaming experience is now massively improved. Play-to-Earn games are essentially free to play and open to anyone and...
Post a Comment
Read more

China to Crack Down on Copyright Infringement Through NFTs

Authorities in China are going after creators of digital collectibles based on other people’s works of art, the use of which was not authorized. The government offensive is part of a campaign to combat online copyright infringement and piracy with the participation of several departments. Regulators in China Move to Strengthen Copyright Supervision of Online Platforms The National Copyright Administration of China (NCAC) has recently launched a campaign against copyright infringement and piracy on the internet, together with the Ministry of Industry and Information Technology, the Ministry of Public Security, and the State Internet Information Office of the People’s Republic. A major objective of the initiative is to improve copyright supervision of online businesses by investigating cases involving the sale and distribution of infringing products on short video, live broadcast and e-commerce platforms, and promptly dealing with infringing content, the agency announced in a press r...
Post a Comment
Read more
Blogarama - Blog Directory