Japan Freezes Assets of Russian Crypto Exchange Garantex
- Japan froze the assets of Garantex on Oct. 2, as part of a broader sanctions package against Russia.
- Garantex processed over $60 billion in transactions after U.S. sanctions in April 2022, according to blockchain analytics firm Elliptic.
- The U.S. Treasury reported that Garantex staff moved customer deposits to Grinex, a successor exchange incorporated in Kyrgyzstan.
- Garantex was previously sanctioned by the U.S., had its domain seized by the Secret Service in March, and faced executive indictments.
Japan’s action against Garantex highlights ongoing international efforts to curb illicit activities facilitated through crypto exchanges linked to Russia’s financial sector. The freeze is part of broader sanctions targeting various sectors including defense and oil trade vessels.
Despite previous sanctions, Garantex continued significant operations until its domain was seized, illustrating challenges in enforcing compliance across borders and platforms like Grinex emerging as successors to bypass restrictions. (Source)
