When governments impose IT worker sanctions, restrictions on technology professionals from specific countries or entities. Also known as technology export controls, these rules block IT workers from working with foreign firms, accessing sensitive tools, or even using certain cloud services. This isn’t just about hiring bans—it’s about cutting off access to the digital infrastructure that powers crypto, DeFi, and global finance.
These sanctions directly affect crypto compliance, the rules that exchanges and platforms must follow to avoid legal trouble. For example, if an IT worker from a sanctioned country builds code for a DeFi protocol, that project could be flagged by regulators. That’s why platforms like FATF greylist, countries under international scrutiny for weak anti-money laundering rules. Also known as high-risk jurisdictions, these places face tighter crypto checks, and IT teams from there often get blocked from working with major exchanges. Countries on the FATF greylist, like Iran or North Korea, see their developers locked out of global crypto networks—even if they’re just trying to build something legitimate.
And it doesn’t stop there. IRS crypto reporting, how the U.S. tax agency tracks digital asset transactions. Also known as crypto tax compliance, this system now demands full records from every trader, including those using tools built by sanctioned IT workers. If you’re using a wallet or exchange developed by someone under sanctions, the IRS may treat your transactions as higher risk. That’s why Form 8949 filings in 2025 are getting more scrutiny—not just for profits, but for where the tools you used came from.
The SEC enforcement, the agency’s crackdown on unregistered crypto platforms and fraudulent projects. Also known as crypto regulation, this push has turned into a global filter: if a project’s codebase has ties to a sanctioned IT worker, it’s often flagged as non-compliant—even if the team is based in Singapore or Canada. That’s why you’re seeing so many projects shut down quietly. Not because they failed, but because their developers got caught in cross-border restrictions.
You’ll find posts here that break down how these sanctions ripple through crypto airdrops, exchange licensing, and even NFT marketplaces. Some projects got canceled because their devs couldn’t access GitHub. Others got flagged because their smart contracts were written by someone on a restricted list. This isn’t theory—it’s what’s happening right now. Below, you’ll see real cases: failed exchanges, vanished tokens, and tax traps that had nothing to do with your trading habits—but everything to do with who built the tools you used.
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