Russia turns to Kyrgyzstan’s booming crypto sector to evade sanctions, researchers say
Russia is increasingly exploiting Kyrgyzstan’s fast-growing cryptocurrency sector to bypass international sanctions and funnel money for its war in Ukraine, researchers have found.
According to a new report by blockchain intelligence firm TRM Labs, Kyrgyz-registered exchanges have repeatedly been used by sanctioned Russian entities. Many of these virtual asset service providers (VASPs) appear to operate as shell companies, often reusing the same residential addresses, contact details and founders across multiple entities.
Several of the Kyrgyz-registered VASPs identified in the report had no visible business operations or public-facing user platforms. Some shared phone numbers with logistics companies, while others listed founders…
