Global crackdown on Russian crypto exchange Garantex fails as new platform pops up

A recent case of law enforcement efforts to tackle money laundering and sanction evasion in the cryptoasset space resembles the whack-a-mole game, as one platform is closed, another emerges.

Blockchain analysis company TRM Labs alleges that after global law enforcement managed to dismantle notorious Russian crypto exchange Garantex just last month, its successor Grinex started to onboard Garantex's clients and "was considering hiring former Garantex employees."

Moreover, per the report, Grinex started distributing former Garantex user assets through the Russian ruble-backed stablecoin A7A5.

According to TRM Labs' estimations, Garantex has been responsible for 82% of all cryptoasset volumes associated with sanctioned entities worldwide, and 70% since it was sanctioned by the US Office of Foreign Assets Control (OFAC) in April 2022.

Grinex was first mentioned in August 2022, but registered in Kyrgyzstan in December 2024, and was promoted in Telegram channels linked to Garantex, such as Satoshkin, soon after the platform's takedown.

"Telegram users quickly noted the platform’s striking resemblance to Garantex, speculating that it may be a rebrand," TRM said.

Meanwhile, per their analysis, the above-mentioned stablecoin A7A5—available on the Ethereum and Tron blockchains—was announced just two weeks before the Garantex shutdown.

The analysts claim that Garantex addresses began sending funds into A7A5 as early as January 2025, "suggesting premeditated efforts to create a sanctions-resistant asset."

The issuers of the stablecoin, launched in Kyrgyzstan by a company called Old Vector, promise daily profit-sharing with users and advertise it as a way for Garantex users to recover frozen assets.

"During an interview with Satoshkin, Garantex executives explicitly stated that A7A5 was developed to facilitate such transfers," TRM said, noting that "some sources" suggest a possible link to Russian bank Promsvyazbank’s A7 platform, designed for cross-border trade.

However, it seems like Grinex is not the only one capitalizing on the Garantex closure. The blockchain analysts claim that ABCEX, a Russian exchange tied directly to Garantex founder Sergey Mendeleev and Garantex’s third-largest on-chain counterparty, and Rapira, another Russia-tied high-risk exchange with exposure to sanctioned entities, have also received an influx of Garantex's former users.

We've contacted Grinex for comment and will update the story if we receive a response.