US government seizes crypto domains connected to Russian money laundering

The US Department of Justice has taken control of three cryptocurrency exchanges and domains that enabled over $800 million in illegal transactions related to Russian money laundering schemes.  The US government acquired sixteen domains, including PM2BTC, Cryptex, and UAPS amid a judge’s approval.

A government notification stating the site has been seized due to criminal conduct will appear to everyone who opens those domains.

The US Department of Justice (DOJ) prosecuted two Russian nationals in a statement released on September 26 for allegedly taking millions of dollars from a massive money laundering scheme that was based on a global network of cyber criminals.

The DOJ accused Russian national Sergey Ivanov, also known as “Taleon,” of running several money laundering businesses for hackers, including ransomware organizations and darknet drug traffickers, based on previously disclosed court records.

Between July 2013 and August 2024, Ivanov is accused of creating and running the Russian payment and exchange systems UAPS, PinPays, and PM2BTC to handle over $1.15 billion in transactions using digital assets for money laundering.

It was discovered that Cryptex, another cryptocurrency exchange connected to money laundering, had enabled transactions totaling $1.4 billion, of which 31% were linked to illegal activity.

The domains “Cryptex.net” and “Cryptex. one” were taken by US authorities. According to reports, these websites let individuals register for accounts anonymously and without complying with know-your-customer regulations.
Deputy Attorney General Lisa Monaco stated, “We shut down Cryptex, an illegal cryptocurrency exchange, and recovered millions of dollars in cryptocurrency working with our Dutch partners.”

Timur Shakhmametov, a Russian national, was also charged with running Joker’s Stash, one of the biggest carding websites ever, which offered credit and debit card details that had been stolen. Similar to Ivanov, Shakhmametov is suspected of advertising on multiple cybercrime forums Joker’s Stash website as well as his pilfered credit card information.

A press release stated that a blockchain examination found that roughly 32% of all Bitcoins on these exchanges were able linked to illegal activities. Approximately $4.7 million came via darknet drug markets, over $8.8 million was utilized for ransomware payments, and over $158 million in Bitcoin was linked to fraud.