A Sanctioned Russian Banker Sells $19M Worth of Shares in Crypto Custodian Linked to Ex-U.K. Chancellor
A sanctioned Russian banker, Mikhail Klyukin, has recently sold over £15 million (approximately $19 million) worth of shares in Copper Technologies, a cryptocurrency custodian. Copper Technologies made headlines earlier this year when it named former U.K. Chancellor Philip Hammond as its chair.
The sale of the shares was organized by Copper Technologies in response to concerns raised after Klyukin, who owns more than 2% of the company, was placed on the U.S. sanctions list in March 2022. Copper Technologies has not publicly commented on the transaction at this time but stated that they have always complied with applicable sanctions laws based on legal advice.
Copper’s Role and Use of Crypto in the Transaction
Copper acted as an intermediary in the sale and reportedly converted the payment for Klyukin’s shares into cryptocurrency. While some legal experts have raised concerns about potential risks associated with using crypto in this transaction, it is believed that the sale avoided breaching U.S. sanctions.
Reasons for Sanctions and Copper’s Background
Klyukin faced sanctions due to his position on the supervisory board of Sovcombank, Russia’s third-largest lender, which is targeted by a U.S. initiative aimed at individuals connected to Vladimir Putin’s inner circle.
Copper Technologies, founded by Dmitry Tokarev in 2018, offers services for companies interested in investing in, trading, or using cryptocurrencies. In March 2022, Tokarev publicly criticized Russia’s military actions against Ukraine on Copper’s website and emphasized that the Russian government does not represent all Russians.
Hot Take: Sanctioned Russian Banker Sells Crypto Custodian Shares Amidst Controversy
A sanctioned Russian banker, Mikhail Klyukin, has sold a significant amount of shares in Copper Technologies, a cryptocurrency custodian. This sale comes after Klyukin was placed on the U.S. sanctions list and raises questions about the potential risks associated with using crypto in such transactions. Copper Technologies, however, maintains that they have complied with all applicable sanctions laws. The involvement of former U.K. Chancellor Philip Hammond as the chair of Copper Technologies adds an interesting dimension to this story. It remains to be seen how this sale will impact both Copper Technologies and the broader crypto industry.
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