Russia Targets Unlicensed Crypto Exchanges Allegedly Tied to Ukraine

Russia's Federal Security Service (FSB) has detained more than 20 individuals in Moscow for allegedly managing unlicensed cryptocurrency exchanges that funneled money from Russian scam victims to Ukraine.

The arrests, which took place in a business district of the capital, were part of a broader initiative aimed at dismantling a network accused of defrauding citizens to support Ukraine's military efforts. The FSB, in collaboration with the Interior Ministry, also reported the closure of nine channels used for illegal cryptocurrency transfers abroad.

According to the FSB, young recruits from various regions of Russia, often lacking financial expertise, were hired remotely to work at these exchanges. The criminal enterprise reportedly operated Ukrainian call centers that targeted Russian citizens, including vulnerable pensioners, providing them with detailed instructions to purchase cryptocurrency and transfer funds to accounts controlled by the suspects.

While the FSB has not disclosed specific details regarding the exchanges involved or the types of cryptocurrencies used in these schemes, they have not provided evidence linking these operations directly to Ukrainian coordination. Earlier this year, Russia had already banned the Ukrainian-founded cryptocurrency exchange WhiteBit as part of its efforts to clamp down on entities perceived to be aiding Ukraine's military operations.