The U.S. Department of Justice (DOJ) has officially charged Roman Pikulev with the creation and operation of Cryptonator, an unlicensed cryptocurrency exchange implicated in processing over $235 million in illegal funds. Operating from 2014 until March 2023, Cryptonator became a favored platform for criminals involved in computer hacks, ransomware attacks, fraud, and identity theft. The indictment highlights that the platform never registered with the Financial Crimes Enforcement Network (FinCEN), violating federal law on anti-money laundering procedures.
Pikulev allegedly understood the criminal nature of the funds processed through Cryptonator, which lacked essential anti-money laundering practices and controls. He implemented features designed to obfuscate the source of the funds exchanged, attracting cybercriminals who sought to convert cryptocurrency into fiat currency.
Investigators traced over 4 million transactions totaling $1.4 billion through Cryptonator, with the platform linked to significant illegal activities, including interactions with darknet markets and high-risk exchanges. Pikulev allegedly operated under the alias “Boss” and utilized various international identification documents to anonymously register the service and associated email addresses.
The DOJ has yet to disclose Pikulev’s current whereabouts or whether he has been apprehended, leaving many questions unanswered in the aftermath of this extensive international money laundering scheme. As the cryptocurrency landscape continues to evolve, Cryptonator serves as a stark reminder of the regulatory challenges and the need for stringent enforcement actions against unlicensed platforms.
