Authorities are reportedly investigating billions of dollars in cryptocurrency transfers through a Russia-based exchange.
investigation Payments of over $20 billion The move is part of efforts by the United States and Britain to crack down on sanctions evasion amid Russia's war in Ukraine, Bloomberg News reported on Thursday (March 28), citing sources familiar with the matter.
According to the report, the transactions in question went through Garantex, a Moscow-based cryptocurrency exchange, and used dollar-pegged digital currencies. tether.
Sources said the transfers were made after Galantex was sanctioned by the United States and Britain for allegedly facilitating financial crimes and illegal transactions in Russia.
The $20 billion deal is one of the largest violations of sanctions imposed on Russia since the start of the war.
Officials told Bloomberg that there is no indication of wrongdoing by Tether, and that Tether is cooperating with law enforcement to ensure that “all activity takes place online, all transactions are traceable, and all “We are ensuring that assets can be seized and that all criminals can be arrested.”
In 2023, I spoke with Karen Webster, CEO of PYMNTS. Chainalysis Kim Grauer He cited Garantex, which was subject to sanctions in 2022, as an example of a company that has been subject to sanctions but is still operating in a jurisdiction that does not care about sanctions.
Grauer, head of research at the Blockchain Intelligence and Data Platform, said that even amidst illegal activities such as hacking and fraud, sanctions were emblematic of the year. Largest fraudulent transaction category.
America Ministry of Finance Office of Foreign Assets Control (OFAC) said, “As we have begun to designate major international services as sanctioned entities, 43% of the billions of dollars in transactions received by these platforms since their designation are now tracked as illicit funds.” Grauer told PYMNTS.
Thursday's news came three days after OFAC Citing 13 Russian-related fintech companies Suspected of using virtual currency to evade sanctions.
“Russia is increasingly turning to alternative payment mechanisms to circumvent U.S. sanctions and continue to fund its war against Ukraine,” said Brian Nelson, the U.S. Treasury undersecretary for terrorism and financial intelligence. said on Monday (March 25).
“As the Kremlin seeks to leverage companies in the financial technology sector, the Treasury Department will continue to expose and disrupt companies that seek to help sanctioned Russian financial institutions reconnect to the global financial system.” added Nelson.
