Three Russian nationals have been indicted this week for their involvement in managing two cryptocurrency mixing services, which were allegedly funded through money acquired from ransomware attacks.
According to the indictment from a federal grand jury in the Northern District of Georgia, Roman Vitalyevich Ostapenko, 55, Alexander Evgenievich Oleynik, 44, and Anton Vyachlavovich Tarasov, 32, were identified as the individuals behind Blender.io and Sinbad.io. These fee-based services allowed users to send cryptocurrency to specific recipients while concealing the source of the funds.
The Department of Justice revealed in a press release that Blender.io and Sinbad.io were commonly used by criminals seeking to distance themselves from the origins of their illegally obtained funds. The Russian nationals allegedly utilized these services as “safe havens” for laundering proceeds from ransomware attacks, crypto thefts, and other illicit gains.
Principal Deputy Assistant Attorney General Brent S. Wible, head of the Justice Department’s Criminal Division, expressed concern over the operation of these mixers by the defendants, claiming that it facilitated state-sponsored hacking groups and cybercriminals in profiting from activities that posed threats to public safety and national security. Wible emphasized the significance of international partnerships in combating the global menace of cybercrime.
Blender.io, which operated from 2018 to 2022, promoted its “No Logs Policy” and guaranteed the deletion of transaction records in an advertisement on a widely visited internet forum. The ad reassured potential users that no personal details were required and that the service remained unaware of users’ identities.
Following the shutdown of Blender.io, Sinbad.io emerged a few months later, offering similar services until it was dismantled by the FBI’s Atlanta field office, Netherlands’ Financial Intelligence and Investigative Service, and Finland’s National Bureau of Investigation in November 2023. Both Blender.io and Sinbad.io had previously been sanctioned by the Treasury Department’s Office of Foreign Assets Control.
Ostapenko has been charged with one count of conspiracy to commit money laundering and two counts of operating an unlicensed money transmitting business, while Oleynik and Tarasov face one count of conspiracy to commit money laundering and one count of operating an unlicensed money transmitting business.
If convicted, each defendant could be sentenced to a maximum of 20 years in prison for money laundering conspiracy and five years for each count of operating an unlicensed money transmitting business. While Ostapenko and Oleynik were arrested on December 1, 2024, Tarasov remains at large.
The case highlights the ongoing efforts to combat illicit activities in the cryptocurrency realm and underscores the importance of international cooperation in addressing cybercrime threats. Matt Bracken, the managing editor of FedScoop and CyberScoop, reported on this significant development in the realm of digital currency.