US Sanctions Russian Nationals for Laundering Crypto for North Korean IT Workers

The US Treasury’s Office of Foreign Assets Control sanctioned 10 individuals and one entity on Oct. 28, aiming at financial middlemen and workers based in Russia and North Korea. Among them are two Russian nationals accused of converting millions of dollars in crypto for North Korean IT worker networks. Those networks send wages earned from foreign employers back to fund the regime’s weapons programs.

What Boykov and Obertas Are Accused Of

Treasury says Ilya Boykov exchanged and converted about $3.5 million in crypto for Alis, a company sanctioned in March 2024 and tied to North Korean IT workers. Vitold Obertas allegedly handled nearly $2 million in crypto conversions and at least $1.25 million in other currency transactions for North Korean officials since January 2025. Chainalysis traced crypto earned by a North Korean IT worker to Boykov, who sent it to Garantex, a now sanctioned Russian exchange, to cash out.

How North Korean IT Worker Schemes Operate

Operatives use stolen identities, fake documents and invented personas to get jobs at real companies, and North Korea keeps most of their pay. Treasury warns that some workers have used corporate network access to plant malware and steal sensitive data. Chainalysis says generative AI helps them write resumes and prepare for interviews, while AI profile photos and deepfake video have hidden identities during hiring calls.

Russian Center and Crypto Addresses Listed

OFAC also sanctioned the First Financial and Technical Development Center, a North Korean run organization in Russia. Six workers named with it earned over $750,000 for the group since 2025. The notice lists eight crypto addresses on Ethereum and Tron. In March, Treasury sanctioned six people and two companies for laundering $800 million in crypto for North Korea.