{"id":14095,"date":"2025-07-16T19:06:39","date_gmt":"2025-07-16T17:06:39","guid":{"rendered":"https:\/\/wsj-crypto.com\/?p=14095"},"modified":"2025-07-16T19:06:39","modified_gmt":"2025-07-16T17:06:39","slug":"eu-targets-crypto-network-linked-to-russia-with-sanctions","status":"publish","type":"post","link":"https:\/\/wsj-crypto.com\/index.php\/2025\/07\/16\/eu-targets-crypto-network-linked-to-russia-with-sanctions\/","title":{"rendered":"EU Targets Crypto Network Linked to Russia with Sanctions"},"content":{"rendered":"

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The European Union has penalized individuals associated with an operation that utilized digital currencies to bypass sanctions and finance pro-Russian propaganda efforts.<\/p>\n

In a resolution<\/a> revealed on Tuesday under the EU\u2019s Common Foreign and Security Policy, penalties were enacted on nine individuals and six organizations. Among them was Kremlin-associated figure Simeon Boikov, known as AussieCossack, for disseminating pro-Russian misinformation.<\/p>\n

Boikov was reportedly<\/a> also accountable for circulating a fabricated video claiming voter fraud in Georgia during the 2024 US election. According to a Tuesday TRM Labs analysis<\/a>, he garnered funds through numerous avenues, accepting cash and cryptocurrencies.<\/p>\n

TRM Labs indicates that Boikov interacted with high-risk Russian exchanges that do not implement know-your-customer (KYC) protocols and received money through cash-to-crypto services and darknet markets.<\/p>\n

TRM graph illustrating direct and indirect flows into Boikov\u2019s donation wallet. Source: <\/em>TRM Labs<\/em><\/a><\/figcaption><\/figure>\n

Related: <\/strong><\/em>US penalizes crypto wallet associated with ransomware, infostealer host<\/strong><\/em><\/a><\/p>\n

Russian stablecoin enterprise targeted<\/h2>\n

The penalties were also levied<\/a> against A7 OOO, a company allegedly responsible for attempting to sway Moldova\u2019s 2024 presidential elections and EU accession referendum through vote-buying. The organization was established by Ilan Shor, a fugitive Moldovan oligarch, who supposedly<\/a> utilized it to transfer $1 billion out of three of the country\u2019s banks.<\/p>\n

The United Kingdom had already sanctioned<\/a> A7 OOO in May for its role in manipulating Moldovan elections. The project is connected to A7A5, a ruble-backed stablecoin, which reportedly emerged as a primary means of transaction on Grinex<\/a>, a crypto exchange widely recognized as the successor to Russia\u2019s sanctioned Garantex platform.<\/p>\n

Related: <\/strong><\/em>Russia finance ministry representative suggests the country create its own stablecoins: Report<\/strong><\/em><\/a><\/p>\n

Crypto\u2019s involvement in geopolitical discord<\/h2>\n

TRM Labs notes that A7 was originally intended to facilitate international trade following Russia\u2019s incursion into Ukraine. The organization implies that Grinex and A7A5 are likely \u201clinked to the import of dual-use commodities from China to Russia via Central Asia.\u201d<\/p>\n

Dual-use items are products \u2014 including technologies, materials, or tools \u2014 that can serve both civilian and military purposes. Due to their potential use in weapons production or surveillance, their export is often rigorously controlled.<\/p>\n

These can encompass anything from processors powering civilian computers or guiding missiles, to commodities like cotton, which can be utilized in clothing or processed into components of gunpowder. TRM Labs commented on the EU\u2019s action:<\/p>\n

\u201cBy targeting both individuals and infrastructures that facilitate these strategies, the EU is indicating a wider strategic transition towards disrupting the entire lifecycle of influence operations, from funding channels to narrative distribution.\u201c<\/p><\/blockquote>\n

Magazine: <\/strong><\/em>Counterfeit JD stablecoins, fraudsters impersonate Solana developers: Asia Express<\/strong><\/em><\/a><\/p>\n