Blockchain analytics firm Elliptic has reported that several cryptocurrency exchanges with ties to Russia continue to facilitate transactions connected to sanctioned entities, raising fresh concerns about the role of digital assets in circumventing Western restrictions. The findings add to growing scrutiny of crypto infrastructure used to move funds outside traditional banking systems.
According to the report, platforms including Bitpapa, ABCeX, Rapira and Aifory Pro have processed billions of dollars in cryptocurrency transactions, with portions of those flows linked to exchanges already under sanctions. Elliptic said these networks enable users to convert rubles into crypto, transfer assets across borders and cash out through overseas brokers or affiliated exchanges, reducing reliance on the regulated financial system.
Western governments imposed sweeping sanctions on Russia following its full scale invasion of Ukraine in 2022. Measures have targeted the energy sector, financial institutions and strategic goods. The European Union has frozen an estimated 250 billion dollars in Russian assets, while the United Kingdom has frozen nearly 35 billion dollars. Enforcement agencies have since focused on tracking alternative financial channels, including digital assets.
Elliptic’s findings highlight Bitpapa, a peer to peer exchange registered in the United Arab Emirates that primarily serves Russian users. The US Treasury’s Office of Foreign Assets Control sanctioned the platform in March 2024. Elliptic estimates that nearly 9.7 percent of Bitpapa’s outgoing crypto flows were directed toward sanctioned entities, including approximately 5 percent to Garantex, a Russia linked exchange previously sanctioned by US authorities. The report also alleges that Bitpapa rotates wallet addresses in ways that complicate blockchain tracing.
Another platform named in the report is ABCeX, which operates from Moscow’s Federation Tower. Elliptic estimates that ABCeX has processed at least 11 billion dollars in crypto transactions, including flows to sanctioned exchanges such as Garantex and Aifory Pro. Rapira was cited for handling more than 72 million dollars in transactions connected to Grinex, another sanctioned exchange. Aifory Pro, which offers cash to crypto services in Moscow, Dubai and Türkiye, was also identified as part of the network facilitating such flows.
Separate research from TRM Labs recently found that illicit entities received 141 billion dollars in stablecoins in 2025, the highest level in five years. Sanctions related activity accounted for 86 percent of illicit crypto flows, with stablecoins playing a dominant role. Previous analysis has also pointed to increased use of both dollar denominated and ruble pegged stablecoins in cross border transactions tied to Russian actors.
The reports underscore how decentralized financial infrastructure can be leveraged to bypass traditional banking controls. As regulators expand oversight and compliance requirements across exchanges and stablecoin issuers, analytics firms continue to track evolving transaction patterns linked to sanctioned entities.
