Cryptocurrency exchange Garantex Europe, sanctioned by the US Treasury, may have a contingency plan to evade sanctions, according to TRM Labs. Garantex processed $96 billion in crypto transactions from 2019 to March 2025, used for money laundering and illicit transactions. Successor platform Grinex was prepared months in advance. Funds moved to A7A5 stablecoin pre-takedown.

Garantex processed over $100 million in illicit transactions before initial sanctions in 2022, and continued illegal activities post-sanctions. TRM Labs discovered a contingency plan activated after the March 2025 takedown, with Telegram channels promoting Grinex as a new platform. Another exchange, Meer, possibly connected to Garantex, listed A7A5 and was registered around the same time as Grinex.

A7A5 token played a key role in transitioning from Garantex to Grinex, aiding in the movement and recovery of frozen funds. TRM Labs emphasized the importance of monitoring fiat-pegged tokens with opaque governance to prevent sanctions evasion. The case highlights how these tokens can be repurposed for illicit financial activities.

Read more at Cointelegraph: Garantex Has Used Backup Crypto Exchanges to Evade Sanctions Before