The Russian exchange Garantex, which has been restricted by enforcement actions, is quietly transferring funds again, according to on-chain payment architecture revealed by blockchain analytics firm Global Ledger.
The investigation found evidence that Russian actors have rebuilt a functioning payment system, despite authorities' attempts to prevent it.
Garantex quietly transfers millions
New research from Global Ledger shows that Garantex, a Russian crypto exchange previously targeted by Western sanctions and whose servers were seized, is still able to transfer large amounts of money.
Researchers have discovered new wallets linked to Garantex in Bitcoin and Ethereum – they contain a total of over 34 million dollars in cryptocurrency. At least 25 million dollars have already been paid to former users. These transfers demonstrate that operations continue even in the face of international pressure to shut down.
Global Ledger reported that Garantex utilizes a payment system aimed at concealing the flow of funds. The exchange transfers its reserves to mixing services like Tornado Cash, where the funds are mixed to obscure their origin.
Funds are then transported through several cross-chain tools. These allow for the transfer of assets between different networks, such as Ethereum, Optimism, and Arbitrum. Ultimately, the funds end up in aggregate wallets, from which they are distributed to individual payment wallets.
The study also found that most of the Ethereum reserves remain untouched. Over 88% of the ETH associated with Garantex is still in reserves, indicating that only initial payments have been initiated.
The findings of the Global Ledger report relate to a broader change that is taking place in Russia's financial system.
How Russia uses A7A5 to keep trade alive
Russia has significantly changed its approach to digital assets.
At the beginning of 2022, the Russian central bank proposed a full ban on cryptocurrencies, viewing them as a threat to financial stability. By 2024, the country had reversed its stance and began using crypto to support trade during sanctions.
President Vladimir Putin has also personally supported the new A7 payment network.
A7 launched a ruble-pegged stablecoin called A7A5 at the beginning of 2025. This token allows for the movement of money in and out of the traditional financial system, and according to Chainalysis, it has already facilitated over 87 billion dollars in trading volume.
Russian companies use the A7A5 token to convert rubles to USDT. This allows Russian companies to continue making international transfers, even as banks refuse to handle transactions related to Russia.
As Russia builds a financial system that no longer relies on Western channels, Global Ledger's observations provide an important new perspective: Garantex has not disappeared.
Garantex, on the other hand, has adapted its operations and continues to move funds through structures reminiscent of more modern state-supported systems.
As a whole, the evidence shows how states develop new crypto-based payment systems that circumvent country and region-specific sanctions and undermine traditional external pressures.
