The Garantex exchange announced it had found a solution to the issue of frozen USDT and invited users to personal meetings at its Moscow office. However, despite this statement, serious questions remain: how exactly will funds be returned, and what legal risks do the exchange’s clients face?
Why were USDT funds frozen?
The USDT freeze on Garantex was not accidental. The reasons include:
🔹 Sanctions – Garantex has been under U.S. sanctions since 2022 and EU sanctions since 2024.
🔹 Circumvention schemes – Western regulators identified sanction-evading schemes involving Garantex.
🔹 ICIJ investigations – The exchange is accused of potentially financing criminal organizations.
⚠️ Currently, not only suspicious transactions are frozen — all USDT wallets on the exchange have been affected.
The USDT freeze on Garantex was not accidental. The reasons include:
🔹 Sanctions – Garantex has been under U.S. sanctions since 2022 and EU sanctions since 2024.
🔹 Circumvention schemes – Western regulators identified sanction-evading schemes involving Garantex.
🔹 ICIJ investigations – The exchange is accused of potentially financing criminal organizations.
⚠️ Currently, not only suspicious transactions are frozen — all USDT wallets on the exchange have been affected.
What is Garantex proposing?
The exchange invites users to:
1️⃣ Submit an application via a Telegram bot, providing their name, email, and phone number.
2️⃣ Attend a personal meeting at the Moscow office.
The exchange invites users to:
1️⃣ Submit an application via a Telegram bot, providing their name, email, and phone number.
2️⃣ Attend a personal meeting at the Moscow office.
However, they haven’t disclosed any details about the fund recovery process. There are three possible scenarios:
1️⃣ Garantex has reached an agreement with Tether and partially unlocked the assets — unlikely, given the strict stance of the U.S. Department of Justice.
2️⃣ The exchange will compensate losses from other sources — though it's unclear which.
3️⃣ Legal support will be offered for negotiations with Tether or for filing lawsuits.
So far, there are no confirmed cases of successful refunds.
1️⃣ Garantex has reached an agreement with Tether and partially unlocked the assets — unlikely, given the strict stance of the U.S. Department of Justice.
2️⃣ The exchange will compensate losses from other sources — though it's unclear which.
3️⃣ Legal support will be offered for negotiations with Tether or for filing lawsuits.
So far, there are no confirmed cases of successful refunds.
⚖️ What are the risks for users?
Before going to the Garantex office, consider the following risks:
✔️ No guarantee of refund – the proposed solution lacks transparency.
✔️ Legal uncertainty – if refunds are issued in a different cryptocurrency, it may trigger tax and legal implications.
✔️ Personal data disclosure – participation may involve the collection of user data.
We recommend waiting for confirmed successful returns before taking action.
Before going to the Garantex office, consider the following risks:
✔️ No guarantee of refund – the proposed solution lacks transparency.
✔️ Legal uncertainty – if refunds are issued in a different cryptocurrency, it may trigger tax and legal implications.
✔️ Personal data disclosure – participation may involve the collection of user data.
We recommend waiting for confirmed successful returns before taking action.
What’s next?
Garantex hasn’t announced a return to full operations due to:
🔹 $26 million in frozen assets, making it difficult for the exchange to function.
🔹 The exchange's domain is frozen, requiring workarounds to resume activity.
🔹 Possible pressure from Russian authorities, who may want to avoid a new sanctions-related conflict.
Garantex hasn’t announced a return to full operations due to:
🔹 $26 million in frozen assets, making it difficult for the exchange to function.
🔹 The exchange's domain is frozen, requiring workarounds to resume activity.
🔹 Possible pressure from Russian authorities, who may want to avoid a new sanctions-related conflict.
The freeze highlights three key issues:
- The Russian crypto market remains vulnerable due to a lack of clear regulation. Russian law still does not define how crypto exchanges and platforms should operate.
- Western companies still control critical infrastructure. USDT remains one of the main tools for trading and settlements.
- Introducing licensing for crypto exchanges in Russia could reduce risks.
Conclusion
🔹 Garantex has introduced a process to claim frozen funds, but its effectiveness is yet unproven.
🔹 There are no guarantees of a USDT refund — no successful cases have been reported.
🔹 Carefully assess all risks before taking action or accepting quick promises.
We’ll continue monitoring the situation.
🔹 Garantex has introduced a process to claim frozen funds, but its effectiveness is yet unproven.
🔹 There are no guarantees of a USDT refund — no successful cases have been reported.
🔹 Carefully assess all risks before taking action or accepting quick promises.
We’ll continue monitoring the situation.