US Implements New Sanctions Related to Russia and Cybersecurity, Reports Reuters

By Doina Chiacu and Hannah Lang

WASHINGTON – On Thursday, the United States imposed sanctions targeting alleged Russian money laundering schemes linked to cybercriminal activities, which included three illicit cryptocurrency exchanges.

The Justice Department unveiled an indictment against Russian national Sergey Sergeevich Ivanov, charging him with conspiracy to commit bank fraud and money laundering using stolen credit and debit card data. Ivanov allegedly provided services for cybercrime marketplaces, ransomware groups, and hackers involved in significant data breaches affecting major U.S. companies.

Another Russian national, Timur Shakhmametov, was also charged in the indictment.

In a coordinated effort, the Treasury Department sanctioned both Ivanov and Cryptex, a virtual currency exchange operating out of Saint Vincent and the Grenadines but functioning within Russia.

Since Russia’s invasion of Ukraine on February 24, 2022, the U.S. and its allies have enacted sanctions against thousands of targets in Russia, a conflict that has resulted in extensive loss of life and destruction of cities.

The Treasury’s Financial Crimes Enforcement Network identified the Russian cryptocurrency exchange PM2BTC, linked to Ivanov, as a "primary money laundering concern" related to illicit Russian financing. The bureau noted that PM2BTC employed complex methods to obscure illicit transactions, complicating the traceability of those activities. Furthermore, PM2BTC has longstanding connections to financial institutions either in Russia or affiliated with Russia that are under U.S. sanctions or have other restrictions.

Bradley Smith, acting under secretary for the Treasury’s terrorism and financial intelligence unit, emphasized the commitment of the United States and its international partners to prevent operators like PM2BTC and Cryptex from continuing their activities without repercussions.

In addition, the State Department announced rewards of up to $10 million for information leading to the arrest or conviction of Ivanov or Shakhmametov. They are also offering up to $1 million for information that identifies the leaders behind PM2BTC and the stolen credit card marketplaces PinPays and Joker’s Stash.