<p>ok</p>
<p>I found the answer here in this article</p>
<p><a href="https://www.ft.com/content/526ea75b-5b45-48d8-936d-dcc3cec102d8" rel="nofollow noreferrer">https://www.ft.com/content/526ea75b-5b45-48d8-936d-dcc3cec102d8</a></p>
<p>it details exactly where the Russian central bank is holding its assets.</p>

CC BY-SA 4.0
2022-03-03T10:04:13.917Z
You should explain some of the content of the linked article in this answer; if the link rots then this answer will become useless.
Richard Ward
CC BY-SA 4.0
2022-03-03T02:58:02.840Z
2022-03-03T02:58:02.840Z
HungryHeretic
<p>Well for one thing they don’t necessarily  have cash dollars, they may have Treasury bills or money market deposits.  Those need to be liquidated.  Banning Americans from doing those transactions certainly makes it harder.</p>

CC BY-SA 4.0
2022-03-02T02:47:04.677Z
I thought I might be missing something since The Russian Central Bank said they were unable to engage in market intervention for the ruble due to US sanctions but alot of people hold US treasuries and US assets all over the world, so how can the US ban trading of those assets worldwide?
HungryHeretic
CC BY-SA 4.0
2022-03-02T12:40:44.460Z
Part of it has to do with the "plumbing" of the financial sector. You might own a Treasury or a US stock, but it is typically held by a custodian bank. These custodians are now forbidden from transfering assets. Similarly, transactions need to be cleared and settled. Custodian banks and clearinghouses will think twice about engaging in any transactions that can be interpreted as violating the sanctions.
jpfeifer
CC BY-SA 4.0
2022-03-02T21:27:31.773Z
but forex has no central clearing house, the whole purpose of the sanctions is to stop Russia from defending the ruble, us treasuries and stocks are irrelevant in this case
HungryHeretic
CC BY-SA 4.0
2022-03-01T17:30:04.193Z
2022-03-01T17:30:04.193Z
dm63
<p>The Russian central bank has dollars in accounts at American banks. Now it can't use those dollars to indirectly pay for stuff.</p>
<p>Ordinarily it would like to sell dollars (and euros and yen and ...) for rubles if the ruble's value gets too low. Now it can't do that.</p>

CC BY-SA 4.0
2022-03-02T10:10:38.523Z
2022-03-02T10:10:38.523Z
Criticize SE actions means ban
<p>On the 28th of February 2022, the US Government banned United States persons from engaging in transactions with the Central Bank of the Russian Federation. The motive was quoted as &quot;to prohibit American dollar transactions with the Russian central bank&quot;.</p>
<p>How exactly does banning American individuals from the Russian central bank translate into prohibiting the Russian Central bank from defending the RUB in the foreign exchange market? Given that the forex market is huge and decentralized, why couldn't the Russian central bank simply sell USD and buy RUB to non-American individuals?</p>

CC BY-SA 4.0
2022-05-19T09:18:41.363Z
the answer is US, EU, UK has frozen the holdings that the Russian central bank has with them, however Russia holds alot of Gold and other reserves with China and other banks, the lesson is 1) the weaponization of the dollar and euro by the political class destroys the USD & Euro, 2) buy and hold gold and hard assets at home and diversify your banking as much as possible
HungryHeretic
<central-banking><foreign-exchange><russia><sanctions>
How do USD sanctions on Russia work?
HungryHeretic
# How do USD sanctions on Russia work?

(Asked by: username_0 on 2022-03-01)

On the 28th of February 2022, the US Government banned United States persons from engaging in transactions with the Central Bank of the Russian Federation. The motive was quoted as "to prohibit American dollar transactions with the Russian central bank".

How exactly does banning American individuals from the Russian central bank translate into prohibiting the Russian Central bank from defending the RUB in the foreign exchange market? Given that the forex market is huge and decentralized, why couldn't the Russian central bank simply sell USD and buy RUB to non-American individuals?

**Tags:** central-banking, foreign-exchange, russia, sanctions

> **Comments:**
> **username_0**: the answer is US, EU, UK has frozen the holdings that the Russian central bank has with them, however Russia holds alot of Gold and other reserves with China and other banks, the lesson is 1) the weaponization of the dollar and euro by the political class destroys the USD & Euro, 2) buy and hold gold and hard assets at home and diversify your banking as much as possible  

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## 3 answers

### Answer by username_0 on 2022-03-03. Score: -1 | Accepted answer

ok

I found the answer here in this article

<https://www.ft.com/content/526ea75b-5b45-48d8-936d-dcc3cec102d8>

it details exactly where the Russian central bank is holding its assets.

> **Comments:**
> **username_1**: You should explain some of the content of the linked article in this answer; if the link rots then this answer will become useless.  

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### Answer by username_2 on 2022-03-01. Score: 0

Well for one thing they don’t necessarily have cash dollars, they may have Treasury bills or money market deposits. Those need to be liquidated. Banning Americans from doing those transactions certainly makes it harder.

> **Comments:**
> **username_0**: I thought I might be missing something since The Russian Central Bank said they were unable to engage in market intervention for the ruble due to US sanctions but alot of people hold US treasuries and US assets all over the world, so how can the US ban trading of those assets worldwide?  
> **username_3**: Part of it has to do with the "plumbing" of the financial sector. You might own a Treasury or a US stock, but it is typically held by a custodian bank. These custodians are now forbidden from transfering assets. Similarly, transactions need to be cleared and settled. Custodian banks and clearinghouses will think twice about engaging in any transactions that can be interpreted as violating the sanctions.  
> **username_0**: but forex has no central clearing house, the whole purpose of the sanctions is to stop Russia from defending the ruble, us treasuries and stocks are irrelevant in this case  

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### Answer by username_4 on 2022-03-02. Score: 0

The Russian central bank has dollars in accounts at American banks. Now it can't use those dollars to indirectly pay for stuff.

Ordinarily it would like to sell dollars (and euros and yen and ...) for rubles if the ruble's value gets too low. Now it can't do that.


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