Russian crypto traders have been looking to get unrestricted accounts for global exchanges as their access to such platforms is limited. Over the past year, the supply of such accounts on the dark web has increased significantly, cybersecurity experts told the Russian press.
Supply of cryptocurrency exchange accounts for Russian users doubles in a year of sanctions
More and more ready-made accounts for cryptocurrency exchanges are being sold to Russian residents. While this is not a new phenomenon, such accounts are often used by scammers and money launderers, the current growth in supply has been attributed to restrictions imposed by trading platforms on customers in Russia, as a result of compliance with war sanctions. in Ukraine.
Russian residents have been buying these accounts despite the dangers, including the risk that whoever created them could maintain access after the sale, the Kommersant reported. But they’re cheap, and deals on darknet markets have doubled since early 2022, Nikolay Chursin of Positive Technologies’ information security threat analysis group told the trade daily.
According to Peter Mareichev, an analyst at Kaspersky Digital Footprint Intelligence, the number of new verified out-of-the-box wallet announcements on various exchanges reached 400 in December. Proposals to prepare false documents to pass know-your-customer procedures have also increased, the newspaper revealed in an earlier article last month.
Simple login details, username and password, are typically priced at around $50, Chursin added. And for a fully set up account, including the documents it was registered with, a buyer would have to pay an average of $300. Dmitry Bogachev of the digital threat analysis firm Jet Infosystems explained that the price depends on factors such as the country and the date of registration, as well as the history of activity. Old accounts are more expensive.
Sergey Mendeleev, CEO of banking platform defi Indefibank, noted that there are two categories of buyers: Russians who have no choice because they need an account for daily work, and those who use these accounts for criminal purposes. Igor Sergienko, director of development at cybersecurity service provider RTK-Solar, is convinced that the demand is largely due to cryptocurrency exchanges blocking Russian accounts or withdrawals to Russian bank cards in recent months.
Major crypto service providers, including major digital asset exchanges, have complied with financial restrictions introduced by the West in response to Russia’s invasion of Ukraine. Last year, the world’s largest cryptocurrency trading platform, Binance, indicated that while it was restricting sanctioned individuals and entities, it was not banning all Russians.
However, since the end of 2022, several Russian Binance users have complained that their accounts have been blocked without explanation, as reported by Forklog. Many experienced problems for weeks, including suspended withdrawals amid lengthy checks, affected customers said. The company told the crypto news outlet that the blocking of users from Eastern Europe and the Commonwealth of Independent States was related to the case of seized crypto exchange Bitzlato.
Do you think the restrictions will push more Russians to buy accounts set up for cryptocurrency exchanges? Share your thoughts on the subject in the comments section below.
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