Ukraine Seeks to Trace Illicit Crypto Transactions with US Help

• The US IRS has reportedly provided advanced training to Ukrainian law enforcement agencies in an attempt to detect illegal cryptocurrency transactions carried out by Russian oligarchs and companies.
• The US Treasury Department sanctioned five crypto addresses tied to Task Force Rusich last year.
• The US Internal Revenue Service (IRS) provided Ukraine with licenses to use Chinalysis Reactor (an investigation software that connects cryptocurrency transactions to real-world entities) to trace illicit proceedings conducted by Russians.

Ukraine Seeks Help From The US To Trace Illicit Crypto Transactions

The United States Internal Revenue Service (IRS) is providing assistance to Ukraine in their economic battle against Russia. This includes advanced training for Ukrainian law enforcement agencies as well as licenses for the use of investigation software, Chinalysis Reactor, which helps connect cryptocurrency transactions with real-world entities. Additionally, the US Treasury Department sanctioned five crypto addresses linked to a Russian paramilitary group called Task Force Rusich last year.

Why Is The US Helping Ukraine?

Eduard Fedorov – Acting Director of Ukraine’s Economic Security Bureau – stated that “we resist the aggressor state not only on the battlefield but also on the economic front.” It is believed that Russia may be using cryptocurrencies as a way to evade restrictions or finance war-related efforts, making it necessary for Ukraine to strengthen its financial surveillance capabilities in order to combat this threat.

What Is Chinalysis Reactor?

Chinalysis Reactor is an investigation tool developed by American company Chainalysis Inc., which traces and visualizes suspicious activities and links them with known criminal networks or high-risk jurisdictions. It enables analysts and investigators from around the world uncover financial crimes such as money laundering, fraud, human trafficking and terrorism financing more quickly and efficiently than ever before.

How Will This Training Benefit Ukraine?

By receiving training from the IRS as well as access to this powerful investigation tool, Ukrainian investigators will have an advantage over their Russian counterparts when it comes detecting illegal crypto transactions and tracing funds back to their source. In addition, this could help prevent further aggression or cross-border violations between both countries by cutting off key sources of funding for such operations.


Overall, this partnership between the United States and Ukraine highlights how international cooperation can be used in order stem illegal activities involving digital assets and bring peace between two nations at odds with each other.