Russian Crypto Platforms Uncovered for Sanctions Evasion Tactic by Elliptic

A new report by Elliptic, a blockchain analytics firm, has identified several Russian-linked cryptocurrency exchanges as facilitators of sanctions evasion, enabling sanctioned entities to move funds outside traditional financial systems.

The report highlights platforms such as Bitpapa, ABCeX, Rapira, and Aifory Pro, which collectively processed billions of dollars in crypto transactions, including significant flows to already sanctioned exchanges like Garantex and Aifory Pro. These findings align with similar warnings from TRM Labs, which noted a surge in illicit stablecoin use tied to Russia in 2025.

Since Russia’s full-scale invasion of Ukraine in 2022, Western governments have imposed sanctions targeting energy, finance, and strategic goods. The EU froze approximately $250 billion in Russian assets, while the UK froze nearly $35 billion. Despite these measures, crypto infrastructure has continued to support sanctions evasion, allowing sanctioned entities to circumvent traditional banking channels.

Elliptic’s report underscores how platforms like Bitpapa and ABCeX enable users to convert rubles into cryptocurrencies, transfer funds across borders, and cash out through overseas brokers or exchanges.

• Bitpapa: A UAE-registered peer-to-peer platform primarily serving Russian users, Bitpapa was sanctioned by the U.S. Treasury’s Office of Foreign Assets Control (OFAC) in March 2024. ‘Elliptic estimated that roughly 9.7% of the exchange’s outgoing crypto flows were sent to sanctioned entities, including about 5% to the Russia-linked exchange Garantex.’ The firm also alleges that Bitpapa rotates wallet addresses to hinder transaction tracing.

• ABCeX: Operating from Moscow’s Federation Tower, ABCeX has processed at least $11 billion in crypto transactions, including flows to sanctioned exchanges such as Garantex and Aifory Pro. The exchange uses wallet-hiding strategies to prevent crypto transactions from being linked to the service.

• Rapira: A Georgia-incorporated exchange with a Moscow office, Rapira has engaged in direct crypto transactions with the sanctioned exchange Grinex totaling over $72 million. Moscow authorities reportedly raided Rapira’s offices as part of a capital flight investigation to Dubai.

• Aifory Pro: Offering cash-to-crypto transactions in Moscow, Dubai, and Türkiye, Aifory Pro serves as a “Foreign Economic Activity Payment Agent” for international trade between Russia and China.

The A7 network—a Russia-linked cryptocurrency infrastructure—processed over $56 billion in total volume as the core of Russia’s institutionalized sanctions evasion efforts. In 2025 alone, the network’s wallet cluster was tied to at least $39 billion in activity.

This scale reflects coordinated use of stablecoins like USDT and A7A5 for cross-border payments, connecting Russian actors to networks in China, Southeast Asia, and Iran. Russia’s overall crypto market exceeds $130 billion annually, suggesting the illicit portion linked to evasion could be larger than tracked figures, which stem from blockchain analysis of high-risk flows rather than comprehensive market data.

Russian-linked platforms employ tactics such as wallet rotation and shared custodial infrastructure to obscure sanctioned flows. For example, Exmo, which claimed to exit the Russian market after the 2022 invasion, continues to share custodial wallet infrastructure between its Western-facing and Russian-facing platforms, allowing funds from the Russian-facing platform to co-mingle with the Western-facing entity.

These methods complicate sanctions enforcement, as transaction monitoring systems struggle to identify illicit flows. Western governments have responded with increased regulatory scrutiny. The EU has banned Russian crypto providers, while the U.S. Treasury has taken actions against platforms like Bitpapa. However, the adaptability of intermediaries and the use of address rotation persist, indicating that sanctions evasion through crypto remains a significant challenge.

Elliptic’s report and related analyses highlight the persistent role of crypto infrastructure in facilitating sanctions evasion by Russian-linked entities. Despite heightened regulatory scrutiny, the scale and adaptability of these platforms underscore the complexity of enforcing sanctions in the digital age. The findings emphasize the need for continued monitoring and innovation in blockchain analytics to address the evolving tactics of illicit actors.