How Russia Funds Teen Spy Network with Bitcoin

Russian intelligence operatives are using the speed and anonymity of Bitcoin to fund a network of teenage spies and covert operations across Europe. An investigation by Reuters, along with Global Ledger and Recoveris, has uncovered a sophisticated money laundering scheme utilizing blockchain technology. The Russian Federal Security Service (FSB) appears to be targeting vulnerable youth, providing them with crypto payments for various missions. 600 million in Bitcoin have been linked to the operation, leading to a series of structured transactions and complex laundering schemes. The investigation reveals how young operatives are being recruited, funded, and deployed through encrypted channels. Laken Pavan, a 17-year-old Canadian who was sentenced in Poland after traveling from Donetsk to Istanbul and Copenhagen, offers a striking example. Following his travels, he received $500 worth of Bitcoin before turning himself into Polish authorities. The investigation has identified connections between these transactions and the FSB, using complex laundering techniques such as splitting funds across multiple wallets and connecting them to sanctioned exchanges and mining pools.