US Sanctions Two Russians Accused of Using Fraud to Steal Millions in Crypto

Russian flag behind fence (sanctions)

The U.S. Treasury Department has slapped sanctions on a pair of Russian nationals accused of stealing $16.8 million from customers of three different crypto exchanges, including two in the U.S.

  • According to a U.S. Department of the Treasury press release, Danil Potekhin and Dmitrii Karasavidi impersonated the exchanges using fake websites imitating legitimate exchange portals to obtain customer login information.
  • The exchanges were not named by the Treasury Dept.
  • This information was used to access the customers’ accounts and steal their crypto, the Treasury statement said.
  • The defendants allegedly laundered the funds using fake profiles on different exchanges.
  • The exchanges were not identified.
  • The U.S. Secret Service seized “millions of dollars in virtual currency,” according to the statement.
  • Bitcoin, ether, monero, litecoin, zcash, dash, bitcoin gold and ethereum classic were all included in the list of sanctioned addresses.
  • Cryptocurrency exchanges are frequent targets for malicious actors in the space, who typically hope the pseudonymous properties of the technology will allow them to better hide their proceeds even though the immutable ledger records all transactions.

Related Stories

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Latest Cryptocurrencies Videos


CoinDesk is the leading digital media, events and information services company for the crypto asset and blockchain technology community. Its mandate is to inform, educate and connect the global community as the authoritative daily news provider dedicated to chronicling the space. Founded in May 2013, CoinDesk reaches millions interested in blockchain technology thru its website, social media, newsletters, podcasts and video. CoinDesk created the original reference rate known as the Bitcoin Price Index which is widely sourced in the media including The Wall Street Journal, Financial Times, CNBC and many others on a daily basis.

Learn More