A growing investigation shows that Russia may be using crypto services in Kyrgyzstan to get around international sanctions. These sanctions were imposed after Russia’s military actions in Ukraine. But experts are now worried that digital currencies are helping Russia continue its activities without being stopped.
Russia’s New Crypto Route Raises Alarms
Kyrgyzstan, a small Central Asian country that was once part of the Soviet Union, has become an unexpected crypto hotspot. Analysts from TRM Labs say Russian groups are moving money through Kyrgyzstan’s crypto platforms to buy goods that have both military and civilian uses. This includes tools and equipment that could support warfare.
The big question is whether Kyrgyzstan is allowing this to happen or simply being used without knowing. Investigators note that many crypto businesses in the country have suspicious patterns. Several companies share the same contact details, addresses, and owners. These signs often point to an organized network trying to hide illegal money transfers.
TRM also found that wallet activity matched a Russian crypto exchange called Garantex, which global law enforcement had already shut down for major money laundering cases earlier this year. Now, similar transactions are popping up again—this time using Kyrgyz platforms.
Experts fear this method could spread to nearby countries like Kazakhstan and Uzbekistan and create a wider network for illegal crypto flows if authorities take no action. Law enforcement agencies are urging stronger checks and clear rules in Kyrgyzstan to stop such risky activities.
$44 Million Gone in Indian Crypto Exchange Hack
In another shocking incident, Indian crypto platform CoinDCX has reported a $44 million hack. This is one of the largest crypto-related breaches in the country in recent times.
The hack was first spotted by blockchain analysts, who tracked the stolen funds across two major blockchains—Solana and Ethereum. They say the stolen money came from a liquidity account linked to CoinDCX. It appears the attackers used a tool called Tornado Cash to hide the origin of the funds before making their move.
CoinDCX’s CEO confirmed the hack, calling it a “server breach.” The company has said that customer accounts were not affected, and all users’ money is safe. CoinDCX also stated it will cover the losses from its own reserves. They have now teamed up with cyber experts and law enforcement to trace the stolen funds and plan to offer rewards to ethical hackers to report bugs in the future.
Billions in Crypto Theft and Shocking Scandals
These cases come at a time when crypto crimes are on the rise globally. A mid-year report by Chainalysis revealed that thefts in the crypto world reached $2.17 billion in just the first half of 2025. That’s already more than the total stolen last year.
Hackers from North Korea carried out a $1.5 billion hack on the crypto platform Bybit, making it the largest loss so far. Most of the thefts are still targeting services like exchanges, but criminals are now going after individuals too. They use tricks like fake videos, false job offers, and malware that can take over your wallet in just one click.
Even more disturbing are reports of “wrench attacks”—where criminals use physical threats to force people to give up their crypto passwords.
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In the middle of these incidents, another troubling case has surfaced in the UK. Authorities have jailed a former government agent for stealing bitcoin seized during a joint investigation years ago. Instead of keeping the funds safe, the officer secretly moved the bitcoin to his personal accounts, broke it into smaller parts, and tried to clean it through anonymous mixers.
U.S. authorities are now trying to seize $7.1 million in crypto. The money is linked to a fake oil tank investment scam. Scammers told people to invest in oil storage projects. But these projects were not real. Instead, the money was moved through many bank accounts and crypto wallets.
Trump Media & Technology Group has surprised the financial world. It now holds $2 billion in bitcoin and related assets. This is about two-thirds of its total cash.
Earlier, the company said it had no big plans for crypto. But the new update shows it has invested heavily in bitcoin. It is not clear how much is real bitcoin. Some of it may be in bitcoin stocks or ETFs.
