Pro-Russian groups are raising funds through CRYPTOCURRENCIES to support Russian military operations as the Russian invasion of Ukraine continues, CNBC reported on October 3.

Since the war began on Feb. 24, groups have raised $400,000 worth of cryptocurrency as of Sept. 22, according to an investigative report released Monday by digital asset compliance and risk management firm TRM Labs.

Cryptocurrency risk regulator TRM Labs said it discovered the pro-Russian group used encrypted messaging app Telegram to deliver messages and give people a way to raise funds to help Russia-affiliated militias fund and support operations near the country. Ukrainian border train. ,

Ari Redbord, head of legal and government affairs at TRM Labs, said the exchange the group uses could be one that does not comply with anti-money laundering and other regulations.

He added that:

“They are probably using non-compliant exchanges to siphon off those funds [into fiat currency].”

One group that TRM Labs has identified as a fundraiser is the Russian Task Force, which raises money on Telegram channels for projects like thermal imaging equipment and radios.

The US Treasury described the Russian task force as a “neo-Nazi paramilitary group that has engaged in fighting alongside the Russian military in Ukraine.”

The cryptocurrency market was full of bearish sentiment just after Russia launched the latest military operations against Ukraine earlier this year.

US President Joe Biden has announced new sanctions on the crypto assets of sanctioned Russians as further punishment for the Russian invasion of Ukraine.

There is concern that Russia could use cryptocurrencies to evade those sanctions. But experts say there is not enough liquidity in crypto systems to move money on the scale Russia needs.

TRM Labs identifies Russia-linked groups by using publicly available wallet addresses and by verifying other websites and online activity. However, there is no way of knowing if these groups work with the Russian government or receive support from government agencies.

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