Japan Cracks Down on Crypto Exchange Garantex, Freezing Billions in Assets
Key Summary
Japan has added Garantex, a Moscow-based crypto exchange, to its sanctions list, freezing assets and restricting payments and capital transactions. The designation, effective October 2, 2026, is part of a broader round of sanctions against Russia. Garantex has already been sanctioned by the US, EU, and raided by an international law enforcement operation. The exchange has processed at least $96 billion in transactions since its founding in 2019. Japan's designation aligns with existing sanctions, and compliance teams must now screen wallets and counterparties against the new list.
Key Findings
Japan's Sanctions on Garantex
Global Efforts to Curb Illicit Crypto Activities
Increased Compliance Burdens for Businesses
Background
Japan has imposed sanctions on Garantex, a cryptocurrency exchange accused of facilitating $96 billion in illicit transactions.Significance
The move highlights Japan's commitment to combating global crypto money laundering, and the growing compliance burdens on businesses operating in the crypto space.Garantex Japan
Regulatory Enforcement
• Japan has sanctioned Garantex, freezing the assets of an exchange linked to $96 billion in illicit crypto transactions. • The move underscores the country's efforts to combat global crypto money laundering. • Businesses operating in the crypto space must comply with increasing regulatory requirements.