The president of Russia, Vladimir Putin, issued a decree to confiscate all assets held by American citizens and companies in Russian territory. This initiative is Moscow's response to the Biden administration's intention to seize Russian-owned assets in the United States.

With this decree, the Kremlin could compensate Russian companies or citizens who suffered an embargo on assets located in the United States with United States assets located in Russia. It also enables the Russian Justice to declare embargoes executed by the White House illegal.

The decree was incorporated into the Russian legal code at a time when finance ministers of the Group of Seven (G-7), Germany, Canada, the United States, France, Italy, Japan and the United Kingdom, held a meeting to deliberate on what to do with all of Russia's assets, which are valued at about $260 billion. These assets have been frozen since that started the Russian invasion of Ukraine, according to the Associated Press.

Washington, D.C., has been in favor of seizing Russian assets in the United States since Joe Biden enacted the Law on Rebuilding Economic Prosperity and Opportunities for Ukrainians last month. The law defines the procedures for imposing embargoes on Russian citizens or entities.

So far the Biden administration will not confiscate any Russian assets until it receives approval from the G-7 and the European Union (EU). The goal is not to create a conflict with its allies.