Crypto Founder Iurii Gugnin Charged in $530M Russian Sanctions Evasion Scheme

In a significant move against illicit financial activities, U.S. authorities have recently apprehended a prominent figure in the cryptocurrency sector on charges of orchestrating a sophisticated money laundering network. This alleged scheme reportedly funneled over $530 million through American financial institutions and crypto exchanges, primarily benefiting entities subjected to international sanctions. The case highlights the ongoing challenges in regulating the digital asset space and the determination of law enforcement to combat financial crimes.

Allegations Against Iurii Gugnin

The individual at the center of these allegations is Iurii Gugnin, a 38-year-old Russian national and founder of a U.S.-based crypto payments firm. Residing in Manhattan, Gugnin was arrested following an indictment from federal prosecutors in Brooklyn. The 22-count indictment asserts that Gugnin operated a global laundering enterprise through two companies he controlled: Evita Investments and Evita Pay.

According to the U.S. Department of Justice, Gugnin’s operation, active between June 2023 and January 2025, processed payments for clients linked to sanctioned entities. The primary vehicle for these transfers was Tether, a stablecoin pegged to the U.S. dollar, alongside traditional U.S. banking channels. He stands accused of deliberately obscuring the origin, flow, and ultimate purpose of these funds.

Deception and Evasion Tactics

Prosecutors allege that Gugnin’s client roster included major Russian institutions under U.S. sanctions, such as Sberbank, VTB Bank, Sovcombank, Tinkoff, and Russia’s state nuclear energy firm, Rosatom. These entities represent critical components of Russia’s financial and technological infrastructure. To circumvent restrictions, Gugnin is accused of employing a range of deceptive practices:

• Falsifying compliance documents.
• Misleading U.S. banks about the true nature of transactions.
• Concealing affiliations with Russian entities.
• Utilizing shell companies and fabricated records.
• Digitally altering more than 80 invoices to erase any mention of the Russian parties involved.

Assistant Attorney General Matthew G. Olsen underscored the severity of the charges, stating that Gugnin transformed a cryptocurrency company into a “covert pipeline for dirty money,” facilitating the movement of over half a billion dollars and aiding sanctioned Russian entities in acquiring sensitive U.S. technology.

Acquisition of Restricted Technology and Awareness of Scrutiny

Beyond financial transfers, U.S. officials claim Gugnin played a role in the acquisition of restricted American technology for his Russian clients. One specific instance cited involves the export of a server covered by anti-terrorism export regulations, which allegedly ended up in the hands of a Russian recipient through his network.

Evidence suggests Gugnin was aware of the potential legal repercussions of his activities. Before his arrest, he reportedly conducted online searches for terms such as “how to know if there is an investigation against you” and “money laundering penalties US,” indicating a pre-existing apprehension about federal scrutiny.

Authorities also assert that Gugnin maintained direct connections with Russian intelligence services and Iranian officials – countries known for not extraditing individuals sought by the U.S.

Luxury Lifestyle and Legal Ramifications

Despite being at the center of a massive laundering investigation, Gugnin maintained a lavish lifestyle in New York City. In late 2024, he was featured in a Wall Street Journal article regarding affluent renters, reportedly paying $19,000 per month for a luxury apartment in Manhattan.

The U.S. Department of Justice has made clear the potential legal consequences Gugnin faces. A conviction solely on bank fraud charges could result in a 30-year prison sentence. If found guilty on all 22 counts, his total sentence could potentially exceed a human lifespan. Gugnin has not yet entered a plea and remains held without bond as he awaits his next court appearance.