Crypto CEO Arrested: DOJ Charges Iurii Gugnin with $530 Million Laundering Scheme to Aid Sanctioned Russian Banks
On June 10, 2025, federal agents arrested Iurii Gugnin, CEO of crypto firm MoonTech, in connection with an alleged $530 million laundering operation. The Department of Justice (DOJ) says Gugnin funneled illicit proceeds through a network of shell companies and mixing services to benefit Russian banks under U.S. sanctions.
Case background
Gugnin’s rise in the crypto world began in 2020 when he founded MoonTech, offering privacy-focused wallets and OTC trading. DOJ investigators traced suspicious transactions back to MoonTech’s infrastructure, prompting a year-long probe into the CEO’s personal accounts and corporate treasury.
Charges detailed
The indictment lists wire fraud, bank fraud, and sanctions violations. Prosecutors allege Gugnin disguised transfers as legitimate trades, using over 200 addresses and obscure mixers to mask the origins. If convicted, he faces up to 30 years in prison and hefty fines.
DOJ investigation
The DOJ’s National Cryptocurrency Enforcement Team led the operation, collaborating with Europol and financial regulators across Europe. In a coordinated raid, authorities seized wallets holding over $120 million in crypto assets tied to the scheme.
Market reaction
News of the arrest sent shockwaves through Bitcoin and privacy token markets. Bitcoin dipped 4% intra-day before stabilizing, while Monero and Zcash saw increased volatility amid renewed scrutiny on anonymity features.
Legal outlook
Legal experts say this case could set a precedent for targeting crypto executives under sanctions laws. “It underscores that no individual is above the law, even in decentralized networks,” notes white-collar attorney Amanda Lee.
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