Ukraine Transfers $8.3M in Seized USDT to State Agency

Ukraine has placed more than $8.3 million in seized Tether (USDT) into state custody, transferring the stablecoin to a wallet managed by the National Agency for Finding, Tracing and Management of Assets (ARMA). Prosecutors say the funds were taken from wallets linked to an alleged member of an international hacking group.

Authorities say the group carried out ransomware attacks and data theft against companies and individuals in Europe and the United States, then laundered proceeds in Ukraine by buying real estate, cars and other high-value items. The State Bureau of Investigation and the Prosecutor General’s Office estimate damages from the group’s activities at more than $100 million. Four suspects, including the alleged ringleader, are in custody. Investigators have seized more than $11.1 million in assets, including homes, vehicles and about $1 million in cash, in addition to the crypto.

The Prosecutor General’s Office posted on its Telegram channel that the transfer represents the first formal placement of seized cryptocurrency under state management. The office added, “Modern crime has long since moved into the digital space. We continue to work.”

ARMA, which oversees property seized in criminal cases, received the USDT after a 2025 reform of the agency that aimed to improve transparency and unlock European Union financial support. The agency will hold the funds while investigations and legal proceedings continue.

Ukraine has been an active market for digital assets. Data cited by authorities show the country ranked fourth in Europe for crypto transaction volume, receiving $206.3 billion between mid-2024 and mid-2025. Ukrainian public officials are reported to hold about $2.8 billion in Bitcoin, and government discussions have included the idea of a strategic crypto reserve. Ukraine legalized virtual assets in 2022 and is advancing a bill to tax and regulate the sector in line with European Union rules; parliament approved the legislation in a first reading last year as part of Kyiv’s EU membership bid.

A 2025 report by a London-based research institute estimated Ukraine could recover at least $10 billion in stolen funds and lost tax revenue with a more complete crypto regulatory framework, and warned that weak oversight and over-the-counter trading have made the country attractive for money laundering. Officials say placing seized crypto under state management will help establish the legal and administrative channels needed to track, hold and, where permitted by law, dispose of illicit digital assets and return proceeds to the state as cases proceed.