A federal grand jury in the Northern District of Georgia has indicted three Russian nationals for their involvement in running cryptocurrency mixing services Blender.io and Sinbad.io, which were allegedly used to launder criminal proceeds from ransomware attacks, virtual currency thefts, and other cybercrimes.
The indictment, unsealed on January 7, charges Roman Vitalyevich Ostapenko (55), Alexander Evgenievich Oleynik (44), and Anton Vyachlavovich Tarasov (32) with conspiracy to commit money laundering and operating unlicensed money-transmitting businesses. Ostapenko and Oleynik were arrested on December 1, 2024, while Tarasov remains at large.
According to the U.S. Department of Justice (DOJ), Blender.io and Sinbad.io operated as cryptocurrency mixers, offering users a way to obscure the source of funds for a fee. This anonymity was exploited by cybercriminals, including state-sponsored hacking groups, to launder funds obtained from ransomware attacks and other illegal activities.
Brent S. Wible, Principal Deputy Assistant Attorney General for the DOJ’s Criminal Division, stated:
“By allegedly operating these mixers, the defendants made it easier for state-sponsored hacking groups and other cybercriminals to profit from offenses that jeopardized both public safety and national security.”
Both services have also been sanctioned by the U.S. Department of Treasury’s Office of Foreign Assets Control (OFAC) for facilitating illicit transactions, including those linked to the Democratic People’s Republic of Korea (DPRK).
Blender.io operated from 2018 until 2022, advertising a “No Logs Policy” and a commitment to user anonymity. Following its shutdown, Sinbad.io emerged in 2022, providing similar Bitcoin-mixing services. Law enforcement agencies dismantled Sinbad.io’s infrastructure in November 2023 in a coordinated effort involving the FBI, the Netherlands’ Financial Intelligence and Investigative Service, and Finland’s National Bureau of Investigation.
OFAC sanctioned Blender.io in 2022, citing its use by DPRK hackers to launder stolen cryptocurrency. Sinbad.io was sanctioned in 2023 for similar activities, including its role in obfuscating transactions linked to DPRK state-sponsored cybercrime.
If convicted, Ostapenko, Oleynik, and Tarasov face severe penalties. Each could receive up to 20 years in prison for conspiracy to commit money laundering and five years for each count of operating an unlicensed money-transmitting business.
