coindesk.com
Ukraine has transferred seized cryptocurrency into state management for the first time in its history, according to the country's Prosecutor General's Office.
In a statement, the office said more than $8.3 million worth of $USDT was sent to a cryptocurrency wallet belonging to its asset recovery agency, the National Agency for Finding, Tracing and Management of Assets, or ARMA, which handles property seized in criminal cases.
The case lands as Ukraine works on the potential creation of a crypto reserve. The country ranked fourth in Europe by transaction volume, with $206.3 billion received between mid-2024 and mid-2025, according to Chainalysis data.The approach echoes that of the U.S., where an executive order last year said a strategic reserve will be funded with crypto forfeited in criminal and civil cases rather than purchased on the open market.
The Ukrainian transfer was made pursuant to a court order and followed the State Bureau of Investigation's investigation. The sum is equal to about 372 million Ukrainian hryvnias, Prosecutor General Ruslan Kravchenko said.
“This is the first time that seized crypto assets have actually been handed over to state management,” the statement reads. The funds came from wallets controlled by a member of an alleged international hacker group, the office said.
However, fund management involves custody of the digital assets, not ownership. The $USDT sits in a wallet ARMA controls but has not been formally confiscated, a step that requires a conviction. ARMA already manages seized homes and cars, yet has no record of taking crypto onto its books.
Investigators accused the group of attacking people and companies in Europe and the U.S., stealing private data, demanding ransoms and laundering proceeds in Ukraine through real estate, cars and other high-value property.
Four suspects, including the alleged organizer, have been detained and remain in custody, the statement adds, and have not yet been convicted. Investigators estimate the damage from the group's activities at more than $100 million.
Authorities have so far seized assets worth over $11.1 million, including homes, apartments, cars, $1 million in cash and virtual assets equal to more than $8.3 million.