Crypto exchange Garantex has temporarily suspended its services after Tether froze over 2.5 billion rubles in USDT.
Reasons for Garantex's Shutdown
On March 6, Garantex announced via Telegram the temporary suspension of all services, including cryptocurrency withdrawals, following Tether's freeze of over 2.5 billion rubles in exchange wallets. Garantex stated that their team is working to resolve the issue.
User Implications
Russian users have been advised to exercise caution, as all USDT in Russian wallets is now at risk. Meanwhile, Tether has yet to make any public statements regarding this move.
Sanctions History Against Garantex
In 2022, the U.S. Treasury sanctioned Garantex for allegedly facilitating illicit transactions. Despite these restrictions, the exchange continued to operate for Russian users. Recently, Garantex was added to the European Union's sanctions list as part of efforts to target financial networks linked to Moscow.
The shutdown of Garantex has created uncertainty for its users, especially in light of existing sanctions. Efforts are underway to address the situation.
