Pro-Russian factions are using digital asset funds to support the war effort against Ukraine and circumvent international sanctions.
The group has raised a large amount of Bitcoin (BTC) and other cryptocurrencies through a crowdfunding campaign.
According to the head of global investigations at TRM Labs Chris Janczewski, blockchain intelligence sources identified $400,000 of cryptocurrency collected since the start of the intrusion on February 24.
He added that Task Force Rusich, which is a pro-Kremlin militia, not only supports killing and torturing Ukrainian prisoners, but also collects funds in crypto.
The team is also understood to have been approved by the Office of Foreign Assets Control (OFAC), its two senior leaders and five crypto addresses.
Meanwhile, TRM Labs managed to find the Romanov Light Telegram Channel that collected $174,000 worth of crypto for the Special Rapid Response Unit (SOBR), an elite Special Forces unit of the Russian National Guard.
While the Novorossian Aid Coordination Center raised $21,000 in BTC to buy drones and serve as a supporter of Russia's war-torn operations.
Clarified further, European Commission President Ursula von der Leyen expressed her intention to restrict the ability of Russians to transfer wealth using cryptocurrencies following Russia's advanced crypto strategy in overcoming Western sanctions.
Last month, the Russian Ministry of Finance and the central bank approved a law to facilitate cross-border payments using crypto.
In the meantime, the two agencies also allow mining activities in Russia's energy-rich areas.
