Garantex, founded in 2019, quickly became one of the largest cryptocurrency exchanges in Russia. The platform allowed users to trade both crypto and fiat currencies, including rubles, US dollars, and euros. Popular assets on Garantex included BTC, USDT, ETH, USDC, and DAI.
The exchange attracted users thanks to its low fees and convenient deposit and withdrawal options. Clients could fund their accounts with cash in Moscow and St. Petersburg offices or use a P2P platform. Garantex also launched mobile apps for iOS and Android, making crypto trading accessible on the go.
Accusations Against Garantex
In April 2022, the U.S. Office of Foreign Assets Control (OFAC) imposed sanctions on Garantex, accusing it of facilitating over $100 million worth of illicit transactions linked to darknet markets and ransomware groups.
Despite the sanctions, Garantex remained active, processing over $100 billion in transactions since being blacklisted. On March 6, 2025, as part of an international operation, the U.S. Secret Service seized Garantex’s domain names and froze more than $26 million worth of crypto assets. Authorities also charged citizens of Lithuania and Russia believed to be involved in the exchange’s operations.
Investigators uncovered Garantex’s ties to various criminal networks, including ransomware operators, darknet marketplaces, and sanctioned financial entities. U.S. officials concluded that the exchange played a key role in laundering proceeds from ransomware attacks and serviced Hydra, the largest darknet market in history.
Grinex – the Reborn Garantex?
Following Garantex’s shutdown, reports surfaced suggesting that its operators may have moved client funds to a new platform called Grinex. A Swiss blockchain analytics firm claims to have found significant on-chain and off-chain evidence linking Grinex directly to Garantex.
Part of Garantex’s liquidity, including all assets held in the ruble-backed stablecoin A7A5, has already been transferred to wallets reportedly controlled by Grinex.
Lex Fisun, CEO of Global Ledger, noted that beyond blockchain data, there are plenty of off-chain indicators hinting at a close connection between Garantex and Grinex. He pointed to Grinex’s rapid growth — reaching over $40 million in trading volume within just two weeks — and various links between the two exchanges on social media.
While other major blockchain analytics companies, including TRM Labs and Chainalysis, haven’t yet confirmed Global Ledger’s findings, Andrew Feirman, head of national security at Chainalysis, told CoinDesk that he has noticed signs suggesting Grinex is likely a rebranded Garantex.
Feirman highlighted a recent Telegram post by Sergey Mendeleev, one of Garantex’s founders, where he announced the launch of Grinex, dismissing similarities between the two exchanges as “pure coincidence” — accompanied by two laughing-crying emojis. Both Feirman and Fisun reported multiple cases of Garantex users visiting the exchange’s offices in Europe and the Middle East to transfer their funds directly from Garantex to Grinex. They also noted that the two platforms share nearly identical user interfaces.
While the evidence is certainly compelling, Feirman said Chainalysis would not confirm Global Ledger’s report until its investigation into Grinex’s infrastructure is complete.
The Sanctions Challenge
Garantex’s swift comeback highlights the challenges of enforcing crypto-related sanctions. “Sanctions evasion will happen,” Feirman said. “Because if you’re sanctioned, you won’t just accept that you can no longer operate financially. You will look for ways to hide, whether by creating shell companies, new wallets, or other methods. And the bigger and flashier the operation, the more technically advanced you’ll need to be for it to work.”
Feirman added that this issue isn’t exclusive to crypto, but crypto sanctions offer law enforcement a unique advantage: blockchain transparency.
“The beauty of blockchain is that it’s transparent and immutable. That means when a company shuts down, what happens next is much easier to track,” Feirman explained. “You can dig much deeper with blockchain data. Garantex shut down, and their Tether assets were seized, but that didn’t stop them from moving other assets. And we now have the tools to track where those funds go after an official shutdown.”
