Crypto News

Global Law Enforcement Unites to Dismantle Garantex: Major Cryptocurrency Exchange Allegedly Linked to Money Laundering and Terrorism Financing

March 11, 2025
Smart Money

U.S. Authorities Take Down Cryptocurrency Exchange Garantex Linked to Money Laundering

In a significant collaborative effort, the U.S. Department of Justice (DOJ) announced today the disruption of Garantex, a cryptocurrency exchange accused of facilitating money laundering activities for transnational criminal organizations, including terrorist entities. This coordinated action involved law enforcement authorities from Germany and Finland and marks a pivotal step in combating cybercrime linked to cryptocurrencies.

Indictments Unsealed

As part of the operation, an indictment was unsealed in the Eastern District of Virginia against two men associated with Garantex: Aleksej Besciokov, 46, a Lithuanian national residing in Russia, and Aleksandr Mira Serda, 40, a Russian national living in the United Arab Emirates. They face various charges, including conspiracy to commit money laundering and conspiracy to operate an unlicensed money transmitting business. Besciokov is also charged with conspiracy to violate U.S. sanctions.

Garantex’s Criminal Operations Revealed

Between April 2019 and 2025, Garantex is believed to have processed an astonishing $96 billion in cryptocurrency transactions. According to court documents, the exchange played a substantial role in facilitating various illegal activities, such as drug trafficking, hacking, ransomware, and terrorism, profoundly affecting victims in the United States.

The indictment alleges that both Besciokov and Mira Serda were aware of the illicit activities occurring on their platform. The defendants are accused of taking deliberate steps to conceal the laundering of criminal proceeds. Notably, when Russian authorities sought information on one of Mira Serda’s accounts, Garantex reportedly provided incomplete and misleading information, which concealed the actual relationship between the account and Serda’s personal identification details.

In response to the rising concern over Garantex’s operations, the U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) sanctioned the exchange on April 5, 2022. Despite awareness of these sanctions, court documents allege that the operators continued to engage in transactions involving U.S. entities and modified Garantex’s operational practices to circumvent the sanctions.

Seizure of Garantex Domains and Infrastructure

On March 6, law enforcement officials executed a seizure order targeting three website domain names tied to Garantex. The domains—Garantex.org, Garantex.io, and Garantex.academy—have been taken offline, preventing further misuse for money laundering and related crimes. Visitors to these sites will now see a notification indicating that they have been seized by law enforcement.

Additionally, German and Finnish law enforcement agencies took measures to seize servers that hosted Garantex’s operations. U.S. authorities have already obtained earlier copies of these servers that contain customer and accounting databases. As part of the operation, over $26 million linked to Garantex’s money laundering activities has been frozen.

Legal Proceedings and International Cooperation

Both Besciokov and Mira Serda face serious charges, with potential penalties of up to 20 years in prison for conspiracy to commit money laundering. Besciokov may also face additional years for violating international economic powers and operating without necessary licenses.

The DOJ’s announcement highlighted the critical cooperation received from international law enforcement agencies, including the German Federal Criminal Police Office, the Finnish National Bureau of Investigation, and Europol. Moreover, Tether and blockchain analytics firm Elliptic provided valuable assistance during the investigation.

Call for Victims to Come Forward

The DOJ is reaching out to potential victims, urging anyone who may have experienced financial losses or claims related to Garantex to contact law enforcement at [email protected].

It is essential to note that an indictment signifies an allegation and does not imply guilt. All defendants are presumed innocent unless proven guilty in a court of law.

Conclusion

This coordinated law enforcement action underscores the ongoing efforts of international authorities to combat the misuse of cryptocurrencies for illicit activities and highlights the complexities of regulating such digital financial systems. As investigations continue, U.S. law enforcement agencies remain committed to protecting citizens from the threats posed by cybercriminal enterprises.