The trend of Russian residents purchasing ready-to-use cryptocurrency exchange accounts has been growing at an alarming rate, despite the inherent dangers of such accounts. This phenomenon can be attributed to the recent restrictions imposed by trading platforms in compliance with sanctions over the conflict in Ukraine.
These accounts, which are often employed by fraudsters and money launderers, have become increasingly popular due to their affordability and the availability of such offers on darknet markets.
According to Nikolay Chursin from the Positive Technologies information security threat analysis group, the number of these accounts available for purchase has doubled since early 2022.
A new report by Peter Mareichev, an analyst at Kaspersky Digital Footprint Intelligence, highlights the rising trend of such accounts. In December 2022 alone, there were 400 new ads for verified wallets on various exchanges, with proposals to prepare fake documents for passing know-your-customer (KYC) procedures also increasing.
A simple login account typically costs around $50, while a full setup account with registered documents can cost up to $300, according to Chursin. The price of such accounts may depend on various factors, such as the country and date of registration and the account’s activity history.
Sergey Mendeleev, CEO of DeFi banking platform Indefibank, notes that there are two types of buyers of such accounts- Russians who have no choice but to purchase such accounts for their daily work and those who use them for illegal purposes.
Igor Sergienko, director of development at cybersecurity services provider RTK-Solar, believes that the increasing demand for such accounts is driven mainly by the recent blocking of Russian accounts or withdrawals to Russian bank cards by crypto exchanges.
Despite the compliance of major crypto service providers, including leading digital asset exchanges, with financial restrictions imposed by the West, some Russian users of Binance have reported account blockages without explanation. Binance attributed these blockages to the case with the embattled crypto exchange, Bitzlato.
It is imperative to note that using such accounts may expose users to numerous risks, including the possibility that the person who created the account may retain access even after the sale, as reported by Kommersant. Considering these dangers, users should exercise caution and consider alternative options before purchasing such accounts.
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