OFAC Sanctions Checker
This tool checks if exchanges, wallet addresses, or tokens are listed on the U.S. OFAC Sanctions List (SDN list). Based on information from the article, it includes known sanctioned entities related to Russian crypto activity.
Key Takeaways
- U.S. OFAC sanctions have targeted Garantex, its successor Grinex, and related executives since 2022, tightening the net around Russian crypto activity.
- The sanctions block property, freeze assets, and criminalize transactions involving the A7A5 ruble‑backed stablecoin.
- U.S. Secret Service operations and State Department reward programs intensify pressure on exchange operators.
- Russian users face limited access to mainstream exchanges and must navigate an evolving ecosystem of alternative platforms.
- Future compliance risk remains high; crypto service providers should implement robust screening for OFAC‑listed entities.
Since the start of the Ukraine conflict, the United States has turned its sanctions toolbox toward the digital currency world. The goal? Stop Russian actors from using crypto to sidestep traditional financial blocks. What follows is a plain‑spoken walk‑through of how those sanctions work, why they matter for everyday traders, and what you can realistically do if you find your favorite exchange suddenly out of reach.
Garantex is a Russian‑operated cryptocurrency exchange founded in 2019 by Sergey Mendelev, Aleksandr Mira Serda, and Pavel Karavatsky. The platform offered spot trading, fiat on‑ramps, and a stablecoin called A7A5 that was marketed as a ruble‑backed alternative to Tether. In April 2022, the U.S. Treasury’s Office of Foreign Assets Control (OFAC) placed Garantex on its Specially Designated Nationals (SDN) list under Executive Order 14024, citing the exchange’s role in the Russian financial services sector.
The first round of sanctions mostly froze assets and barred U.S. persons from dealing with the exchange. But the real crackdown came in August 2025, when OFAC re‑designated Garantex under a suite of executive orders (EO 13694, 14144, 14306). The agency claimed the exchange processed more than $100 million in illicit transactions since 2019 and directly facilitated cybercriminals.
Grinex emerged in March 2025 as a direct successor to Garantex, explicitly marketed as a platform built to replace the frozen service. Grinex inherits the same user base, the same A7A5 token, and-according to OFAC-essentially the same corporate control. The August 2025 designation bundled Grinex together with its three co‑founders and six ancillary companies in Russia and Kyrgyzstan.
Timeline of Major Enforcement Actions
- April 5 2022 - OFAC adds Garantex to the SDN list (EO 14024).
- March 6 2025 - U.S. Secret Service seizes three Garantex domains, freezes >$26 million in crypto, and arrests co‑founder Aleksej Besciokov in India.
- March 2025 - Grinex is launched by former Garantex staff to restore customer access.
- August 14 2025 - OFAC redesignates Garantex, adds Grinex, its executives, and related companies to the SDN list.
- August 2025 - U.S. State Department announces up to $6 million in rewards for information leading to arrests of the three executives.
How the Sanctions Restrict Exchange Access
When an entity lands on the SDN list, every U.S. person and entity must block any transaction with it. That includes:
- U.S.‑based crypto exchanges that would otherwise list the sanctioned token.
- Payment processors that enable fiat‑to‑crypto conversions for Russian users.
- DeFi protocols that rely on U.S.‑originated smart‑contract code, which can be frozen via oracle blacklists.
Practically, this means a Russian trader trying to move A7A5 or USDT through a Western exchange will see the transaction rejected, the wallet flagged, or the entire account frozen. The sanctions also extend to any “facilitator”-software providers, custodians, or even VPN services that knowingly aid the prohibited activity.
Key Players and Their Roles
| Aspect | Garantex (pre‑2025) | Grinex (post‑2025) |
|---|---|---|
| Legal status (U.S.) | SDN listed 2022 (EO 14024) | SDN listed 2025 (EO 13694 et al.) |
| Primary stablecoin | A7A5 (rub‑backed) | A7A5 (same token, re‑issued) |
| Asset freezes | $26 million (Secret Service) | Billions in transaction volume flagged |
| Executive sanctions | None | Mendelev, Serda, Karavatsky added 2025 |
| Geographic focus | Russia, EU subsidiaries | Russia, Kyrgyzstan, offshore entities |
OFAC (Office of Foreign Assets Control) is the Treasury agency that publishes and enforces the SDN list, turning legal designations into real‑world banking and crypto blocks. Its toolkit includes property freezes, secondary sanctions on non‑U.S. parties that do business with listed entities, and public reward programs that incentivize whistle‑blowers.
Elliptic is a blockchain analytics firm that tracks illicit flows. In August 2025 it reported that A7‑linked wallets moved at least $8 billion since early 2024, confirming the scale of the evasion network. The firm also added A7A5 to its monitoring suite on both TRON and Ethereum, meaning many compliance platforms now flag these transactions automatically.
The A7A5 Stablecoin - Why It Matters
A7A5 was created as a ruble‑backed token to give Russian traders a stable store of value after domestic banks were cut off from SWIFT. Unlike USDT, which is centrally controlled and can be frozen, A7A5’s smart‑contract code resides on multiple blockchains, making it harder for authorities to seize directly.
However, after the August 2025 designations, both the Treasury and private analytics firms began flagging the token’s contract addresses. U.S.‑based exchanges now refuse deposits of A7A5, and many DeFi aggregators have removed it from their routing tables.
Enforcement Beyond OFAC: Secret Service and State Department
U.S. Secret Service led the March 2025 operation that seized Garantex domains and froze over $26 million in crypto assets. The raid demonstrated that law‑enforcement can reach beyond traditional banking, targeting server infrastructure and even arresting executives abroad.
The U.S. Department of State announced a bounty of up to $5 million for information leading to the arrest of Aleksandr Mira Serda, one of the key figures behind both exchanges. The reward program signals to the global crypto community that cooperation with U.S. authorities can be financially lucrative.
Impact on Russian Crypto Users
For an average Russian trader, the combined effect of sanctions is simple yet painful: the platforms you trusted disappear, your crypto holdings become “blocked” on paper, and moving funds out of Russia requires navigating a maze of compliant exchanges that may reject your transaction outright.
Many users have turned to peer‑to‑peer networks, privacy‑focused wallets, and offshore “mixing” services. While these methods restore some liquidity, they also increase exposure to scams, higher fees, and regulatory risk.
Practical Steps to Mitigate Access Problems
- Screen every counterparty. Use tools that flag OFAC‑listed wallets (Elliptic, Chainalysis, etc.).
- Diversify assets. Don’t keep everything in A7A5; hold a mix of Bitcoin, Ethereum, and other non‑sanctioned tokens.
- Consider reputable offshore exchanges. Platforms that have robust KYC processes and a track record of complying with sanctions are less likely to be shut down abruptly.
- Stay updated on sanction lists. OFAC updates the SDN list weekly; a subscription to their RSS feed can prevent accidental violations.
- Maintain off‑chain records. Keep spreadsheets of transaction hashes, timestamps, and counterparties-useful if you need to prove legitimacy later.
Remember, the Russian crypto sanctions are likely to tighten, not loosen, as the U.S. refines its digital‑currency enforcement tools.
Future Outlook - What to Watch For
Analysts expect three trends:
- More granular targeting. Rather than sanctioning whole exchanges, regulators may list specific wallet addresses or smart‑contract functions.
- Increased cooperation with private analytics firms. Partnerships between OFAC and companies like Elliptic will accelerate real‑time monitoring.
- Proliferation of “sanction‑resilient” stablecoins. New tokens that claim decentralization but still serve the same purpose as A7A5 are already in development.
For crypto service providers, the safest play is to embed a compliance layer that can automatically block OFAC‑listed entities, log all attempts, and flag unusual transaction patterns involving Russian IP ranges.
What does it mean when an exchange is on the OFAC SDN list?
Being on the SDN list means the exchange’s assets in the U.S. are frozen, U.S. persons cannot do business with it, and secondary sanctions may apply to non‑U.S. parties that aid the listed entity.
Can I still use A7A5 if I’m outside the United States?
Technically the token can be transferred on its blockchain, but most reputable exchanges have programmed their systems to reject A7A5 deposits because the token is tied to a sanctioned entity.
How can I verify if a wallet is sanctioned?
Use a blockchain analytics platform that integrates OFAC data-Elliptic, Chainalysis, and CipherTrace all provide APIs that flag SDN‑linked addresses in real time.
What are the penalties for violating U.S. crypto sanctions?
Violations can lead to civil fines up to $1 million per transaction, criminal charges with imprisonment, and the loss of access to the U.S. financial system.
Is there any way to legally move funds out of Russia?
Yes-by using fully compliant offshore exchanges that have completed KYC and are not listed on any sanctions list. Each transaction must be screened against OFAC’s database.
Benjamin Debrick
December 16, 2024 AT 10:37The ontological underpinnings of sanction policy, when examined through a lens of geopolitical realpolitik, reveal an intricate tapestry of power dynamics; the United States, in its pursuit of financial hegemony, employs the OFAC apparatus not merely as a punitive measure but as a strategic instrument of coercion; consequently, entities such as Garantex and its phoenix, Grinex, become emblematic of resistance against an overreaching regulatory order; one must therefore appreciate the nuance beyond the headline, recognizing that each frozen wallet represents a node in a broader network of statecraft.
Anna Kammerer
December 18, 2024 AT 10:37Wow, so the crypto world is basically a chessboard for super‑powers-thanks for breaking that down in a way that even a toddler could follow, except for the part where you used three semicolons in a row, which is… adorable.
Mike GLENN
December 20, 2024 AT 10:37While the post offers a thorough chronology of OFAC actions, the practical ramifications for everyday traders are often lost amid the legalese; a Russian retail investor, for instance, may find their modest Bitcoin holdings suddenly rendered illiquid because a Western exchange’s compliance engine flags a connection to a sanctioned address; this scenario is not hypothetical but has been documented multiple times since the 2022 Garantex designation; the compliance burden forces platforms to implement automated screening, which in turn generates false positives, ensnaring users with no direct ties to the listed entities; the result is a cascade of account freezes that erode confidence in the crypto ecosystem; furthermore, the reliance on U.S. jurisdiction creates a de‑facto monopoly over global transaction standards, marginalizing non‑U.S. participants; many traders consequently migrate to peer‑to‑peer networks, where anonymity is prized but security is compromised; the shift amplifies exposure to scams, as the lack of regulatory oversight makes redress difficult; on the other hand, some offshore exchanges attempt to fill the vacuum by offering KYC‑light services, though these are frequently targeted by subsequent sanctions; the iterative nature of the sanctions-first the exchange, then its executives, then associated service providers-creates a moving target that compliance teams struggle to keep up with; moreover, the inclusion of stablecoins like A7A5 in the sanction lists highlights the granularity of the approach, signaling that even token contracts are not immune; this granularity forces developers to consider the legal status of smart‑contract code before deployment; the broader implication is a chilling effect on innovation, as startups may hesitate to launch products that could be retroactively labeled as sanction‑evasive; finally, the interplay between governmental agencies such as OFAC, the Secret Service, and private analytics firms creates an ecosystem where information flows rapidly, leaving little room for due process; in sum, the sanctions achieve their immediate goal of constraining Russian crypto activity, but they also reshape the global landscape in ways that may outlast the conflict itself.
Prerna Sahrawat
December 22, 2024 AT 10:37In the grand theater of international finance, the curtain has been ripped from the stage of Russian crypto, exposing raw ambition and the desperate clamor of a nation seeking digital sovereignty amidst a barrage of imperialistic decrees; the saga of Garantex and its phoenix, Grinex, reads like a tragic opera, where each aria is punctuated by the echo of sanctioned sirens, and the audience-global investors-are left to ponder whether the melody will ever resolve.
Joy Garcia
December 24, 2024 AT 10:37Honestly, if you think the U.S. is merely “protecting” the system, you’re buying the breakfast special of the conspiracy menu-these sanctions are a digital version of the Cold War, a velvet‑gloved fist that pretends to be a shield while it silently carves out a monopoly over who gets to move value online, and anyone with a spine should call it out for the corporate overreach it truly is.
Erik Shear
December 26, 2024 AT 10:37We need to keep dialogue open and find ways to work around these blocks without breaking the law
Tom Glynn
December 28, 2024 AT 10:37Think of each sanction as a puzzle piece; once you see the pattern, you can navigate around it 🤔✨ Remember, resilience isn’t just about survival, it’s about thriving despite the obstacles 🚀
Johanna Hegewald
December 30, 2024 AT 10:37Use a reputable exchange that follows KYC rules and double‑check the OFAC list before you trade.
mike ballard
January 1, 2025 AT 10:37From a compliance architecture standpoint, integrating an API‑driven Sanctions Screening Module-leveraging real‑time SDN feed ingestion-mitigates exposure risk and satisfies both AML and KYC governance protocols, ensuring that transaction pipelines remain unimpeded.
Molly van der Schee
January 3, 2025 AT 10:37It’s encouraging to see that with proper tooling and a vigilant mindset, traders can safeguard their assets while still engaging in the global market; staying informed is the best defense against unintended violations, and community sharing of sanction‑watch resources only strengthens our collective resilience.
Mike Cristobal
January 5, 2025 AT 10:37Breaking the law isn’t an option; the moral compass must point north, even if that means saying no to shortcuts 😇.
PRIYA KUMARI
January 7, 2025 AT 10:37Stop romanticizing sanctions as some abstract policy-these are concrete actions that cripple real people’s livelihoods, and the rhetoric about “national security” is nothing but a veneer for unchecked power grabs.
Jessica Pence
January 9, 2025 AT 10:37i think its importent to keep an eye on the updates from OFAC, otherwise u might get into trouble later.
johnny garcia
January 11, 2025 AT 10:37In accordance with established regulatory frameworks, it is incumbent upon all market participants to diligently monitor sanctionary developments; failure to do so may result in substantive penalties, thereby undermining the integrity of the financial system. 📜
Andrew Smith
January 13, 2025 AT 10:37Let’s pool our resources and share up‑to‑date watchlists, so nobody inadvertently breaches a restriction; together we can maintain compliance without sacrificing market access.
Ryan Comers
January 15, 2025 AT 10:37Patriotism isn’t a trend, it’s a duty.