The U.S. Secret Service has seized the website of Russian cryptocurrency exchange Garantex, marking a major international crackdown on a platform accused of helping criminals launder billions of dollars in illicit money.
In a joint operation involving law enforcement from the U.S., Germany, Finland, Estonia, and other European countries, Garantex’s domains — Garantex.org, Garantex.io, and Garantex.academy — were taken offline and now display a takedown notice from the Secret Service.
Authorities say the exchange has been a key player in cybercrime, processing more than $96 billion in transactions since it launched in 2019. Investigators claim much of that money came from hackers, drug dealers, and even terrorist groups.
“The seizure of website domains associated with Garantex’s operations and the freezing of over $26 million in cryptocurrency strikes a serious financial blow to cybercriminals worldwide,” said Michael Centrella, assistant director of the U.S. Secret Service’s Office of Field Operations.
Two men behind the scenes — Aleksej Besciokov, a Lithuanian national living in Russia, and Aleksandr Mira Serda, a Russian citizen — have been charged with money laundering conspiracy, and other crimes. Besciokov also faces charges for violating sanctions and operating an unlicensed money business.
According to U.S. court documents, both men knowingly helped criminals move money through Garantex and even worked to hide their activities from authorities. In one case, they allegedly gave Russian police false records about an account tied to one of the suspects.
A history of red flags
This isn’t the first time Garantex has been on the radar. In 2022, the U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) sanctioned the exchange, accusing it of being linked to the infamous Conti ransomware gang and Hydra, a now-defunct darknet marketplace.
Despite these sanctions, the exchange reportedly continued to do business by changing wallet addresses daily to dodge detection. They also kept working with U.S. customers, despite being blacklisted.
On Thursday last week, the crypto stablecoin issuer Tether froze $28 million worth of its tokens held on Garantex. Shortly after, the exchange announced in a Telegram post that it suspended all operations, including crypto withdrawals. “We have bad news,” the company wrote in Russian. “We are fighting and will not give up!”
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A warning shot to other crypto outlaws?
Law enforcement and cybersecurity experts are calling this a significant victory in the battle against illegal cryptocurrency activities.
Michael Centrella of the U.S. Secret Service said the operation “strikes a serious financial blow to cybercriminals worldwide.” Meanwhile, blockchain analysis firm TRM Labs called the seizure a “major milestone” in the global fight against crypto-related crime.
