OpenSea maintains a zero-tolerance attitude toward persons, businesses, and even countries on the United States’ sanctions list.
Policymakers’ interest in crypto operations has grown in the backdrop of escalating US sanctions in the wake of the Russia-Ukraine crisis. As the government attempts to include cryptocurrency in congressional discussions, blockchain-based enterprises strive to follow all federal regulations in order to prevent censorship. Senators are openly questioning the potential use of cryptocurrency to circumvent sanctions. The most recent news is that OpenSea has prevented Iranian users from using its services. Many disgruntled people turned to Twitter to complain about the sudden advent of crypto fines imposed on them.
Why Did the NFT Marketplace OpenSea Refrain from Accepting Iranian Users?
An OpenSea spokesman verified the story claiming that the company has restricted users from nations on the US sanction list. The speaker went on to explain OpenSea’s adherence to the sanctions policy, which prevents customers from accessing their NFT transaction-related services. When it comes to persons, businesses, and even nations on the sanctions list, the corporation maintains a zero-tolerance attitude. In the instance of Iran, sanctions have been imposed on the Iranian government for blocking US-based enterprises from offering their goods and services in the country.
Frustrated OpenSea users uploaded screenshots of deleted accounts and collections from their Twitter accounts. Nima Leo Photos bemoaned the removal of its photography collection from the platform, while another user named Arman reported receiving an error 404 notice while trying to visit OpenSea. The verified account of another user, Arefeh Norouzii, on the New York-based NFT marketplace was confiscated without prior notice or update.
For a long time, the NFT marketplace has irritated users by being mired in a slew of financial and legal issues. It was recently the target of external phishing, which cost the organization approximately $1.7 million. In addition to facing a lawsuit over a stolen NFT, it also suffered financial losses when it was forced to refund nearly $1.8 million as a result of an OpenSea listing exploit.
OpenSea is a peer-to-peer NFT marketplace established in New York for enthusiasts looking to buy, sell, collect, and explore these digital assets. OpenSea was the first open marketplace for NFTS hosted on the Ethereum blockchain, founded in 2017 by Devin Finzer and Alex Atallah. OpenSea’s goal is to promote an open digital economy in which customers may freely trade, developers can build integrated platforms for digital assets, and artists can create new digital work. Some of its major investors include Andreessen Horowitz, Coinbase, Dapper, Blockstack, and others.