Since the new regulations were implemented, Russian citizens have had difficulty accessing world exchanges. As a result, many merchants have been attempting to purchase unrestricted accounts on these platforms. Cybersecurity specialists have explained that the number of accounts being sold on the dark web has exponentially increased in the last year according to Russian press.
Supply of Crypto Alternative Accounts for Russian Customers Doubles in One Year of Sanctions
You can also find pre-made accounts on the dark web to use with cryptocurrency exchanges. This isn’t an uncommon practice for Russian residents. Though fraudsters and money launderers often utilize these accounts, the current surge in supply is attributed to limitations placed on customers by trading platforms in response to the sanctions. In Ukraine.
Despite the risks and the chance that the creator of the account may still be able to access it after it has been sold, Russians are still purchasing them. Kommersant reported that the number of dark web offers have doubled since early 2022 according to Nikolay Chursin from the Positive Technologies cyber threat evaluation team.
Peter Mareichev, an analyst at Kaspersky Digital Footprint Intelligence, said that in 2004 there were 400 new ready-made accounts that have been validated on various exchanges. Last month, the newspaper reported that there have been a number of attempts to create false documents in order to pass KYC procedures.
Sometimes, login credentials (username and password) can be bought for as little as $50. Chursin added that at least $300 is required to get a fully organized account. Dmitry Bogachev, director of development at Jet Infosystems digital threat assessment agency, noted that the cost of the service is determined by factors such as the country and date of registration. Older accounts may be more expensive.
Sergey Mendeleev, CEO of Indefibank defi banking platform, commented that there are two types of customers; those who have no other option but want an account to conduct their daily activities. Igor Sergienko, director of RTK-SECURITY SERVICE PROVIDER, Solar, stated that the high demand is due to cryptocurrency exchanges blocking Russian accounts and withdrawals using Russian bank cards.
Major crypto service providers, along with major digital asset exchanges, have been complying with the financial restrictions placed by the West in response to Russia’s invasion of Ukraine. Last year, the largest cryptocurrency exchange in the world, Binance, announced that it was restricting sanctioned entities and individuals but not banning them all from Russia.
However, since late 2022, a number of Russian Binance customers have reported that their accounts were locked without explanation. Forklog reported that customer support has been unresponsive for a few weeks. The company told crypto news outlet that the blocking of accounts from Eastern Europe and the Commonwealth of Independent States was related to the Bitzlato seized crypto exchange case.
Do You think the restrictions will make it harder for Russians to purchase accounts and arrange for cryptocurrency exchanges? Share Your thoughts in the comments section below.
