Russian authorities have dismantled a network of nine unregistered cryptocurrency exchange operations in Moscow that allegedly laundered proceeds from internet-based telephone fraud, the Federal Security Service (FSB) announced on August 7.

Working jointly with the Interior Ministry, the FSB said the exchange channels were connected to call centers based in Ukraine. More than 20 employees of the unregistered crypto exchange points were detained at Moscow City, one of the capital's primary business districts. The bust is one of the larger enforcement actions against underground crypto infrastructure in Russia, where unregulated exchange services have persisted alongside a developing formal regulatory framework for digital assets.

Modus Operandi of the Alleged Scheme

According to the FSB, the exchanges functioned as part of a broader operation in which victims were manipulated by scheme operators into transferring funds. Victims reportedly communicated with fraudulent call centers and were guided step-by-step through a process without realizing they were being defrauded.

Authorities said some victims were pensioners and others who were persuaded to purchase cryptocurrencies through the exchange points. The digital assets were then allegedly transferred to accounts belonging to individuals the FSB described as Ukrainian handlers. The pattern — call centers coaching victims into buying crypto that is then moved to overseas wallets — mirrors tactics documented in fraud cases worldwide, where cryptocurrency's borderless transfer capabilities are exploited to move illicit proceeds quickly across jurisdictions.

Young Couriers Recruited Remotely

The investigation also identified couriers allegedly working within the scam networks. The FSB stated that some couriers were between 18 and 25 years old and were responsible for collecting cash from victims before delivering it to crypto exchange locations.

The agency said these young individuals from various parts of Russia were recruited remotely to operate at exchange points. Some had limited financial expertise and were drawn in by the prospect of easy money.

Police continue to search for additional victims to determine the full scope of the alleged operation and whether any defrauded funds can be recovered.

Criminal Charges Filed

The Interior Ministry has opened two criminal cases under Article 159, Part 4 of the Russian Criminal Code, which addresses fraud involving particularly large sums. Staff of the crypto exchange operations and the suspected couriers are being treated as accomplices, the FSB said. The cited provision carries a maximum penalty of up to ten years in prison.

Investigators are continuing their work to identify other participants, verify witness testimony regarding the amounts allegedly transferred through the crypto network, and corroborate witness statements.

The case underscores the risks associated with unregistered crypto exchanges operating outside formal compliance and regulatory frameworks. Russian officials stated that the exchange operations' internal systems were used to facilitate the flow of money raised through phone scams into cryptocurrency transactions directed to recipients outside of Russia. Russia has been progressively tightening its oversight of digital asset activities, including recent legislative measures addressing crypto mining and cross-border crypto settlements, making enforcement actions against non-compliant operators a continuing area of focus.

Source: FSB Official Announcement