Crypto Becomes Tool for Sanctions Evasion
A newly released report shows a covert network of cryptocurrency exchanges actively enabling Russia-linked entities to bypass international financial restrictions. The so-called 'shadow network' involves several unregulated platforms, with transaction volumes exceeding $11 billion.
Unsanctioned Platforms Remain Operational
While some platforms claim to have exited the Russian market, on-chain data reveals continued service provision to users in the region. One particular exchange, despite public statements of withdrawal, maintains wallet infrastructure facilitating transactions.
Cross-Border Links and Fund Flows
A Georgia-based platform was found to have direct fund transfers with a sanctioned exchange, exceeding $72 million. This hidden movement indicates that crypto-based sanctions evasion infrastructure hasn't disappeared—it has simply become more distributed.
- Crypto remains key for sanctions circumvention
- Shadow networks operate across multiple platforms
- Decentralization poses ongoing regulatory challenges