Geyser Rejects Cuba Bitcoin Initiative Over US Sanction Compliance

Geyser, a non‑custodial crowdfunding platform that enables Bitcoin‑linked projects to seek international funding, declined a proposal from the Cuba Bitcoin community. The platform cited a failed “wallet sanction check” as the reason for the rejection.

Reason for Rejection

Geyser’s compliance team identified that the wallet associated with the Cuba Bitcoin initiative was flagged under United States sanctions. Although the platform does not hold Bitcoin in custody, it adheres to regulatory requirements that restrict services to certain jurisdictions.

Sanctioned and High‑Risk Countries Listed by Geyser

• Sanctioned: Cuba, Syria, North Korea, Iran, Russia, East Ukraine
• High‑risk (service unavailable): Palestine, Israel, Yemen

Community Response

The Cuba Bitcoin community, which aims to promote crypto adoption and infrastructure for Cuban users, argued that its wallet, infrastructure, and project registration were located outside Cuba. Representatives accused Geyser of using the sanction explanation as a pretext and called for a truly permissionless, censorship‑resistant crowdfunding solution.

Geyser’s Position

Michele Morucci, CEO and co‑founder of Geyser, reiterated that the company was founded on Bitcoin’s ethos of global capital access but must comply with applicable regulations, even as Cuba pursues economic reforms.

Implications

The incident highlights the challenges faced by U.S.–based crypto services when interacting with projects linked to sanctioned jurisdictions, and underscores ongoing tensions between regulatory compliance and the decentralized principles championed by the Bitcoin community.