Russian Authorities Sentence Hydra Founder to Life in Prison
Russian authorities have handed down a life sentence to Stanislav Moiseyev, the mastermind behind the criminal drugs platform Hydra. He was found guilty of orchestrating a criminal drugs enterprise and was fined 4 million rubles (~$37,000). Alongside Moiseyev, 15 of his accomplices were also sentenced by a Moscow court, with fines totaling 16 million rubles (~$150,000) and prison terms ranging from eight to 23 years.
Background of Hydra
Operating between 2015 and 2018 in Russia and Belarus, Hydra was a notorious criminal drugs platform. According to reports from Chainalysis, the group processed a staggering $3.2 billion worth of cryptocurrency through various high-risk exchanges. In a concerning revelation, Crystal Blockchain identified $780 million in transactions between Hydra and Binance, shedding light on the extent of their illicit activities.
Footage of the sentencing shared by the Moscow Region Prosecutor’s Office.
Seizure of Drugs and Harsh Sentences
Law enforcement authorities seized a substantial amount of drugs linked to Hydra. As a result, Moiseyev and his associates will serve their sentences in special and strict regime penal colonies, known for their harsh conditions and reputation as some of the toughest prisons in Russia.
Hydra’s Connections and Impact
Hydra’s illicit operations extended beyond borders, with ties to Garantex, a prominent exchange. Records show that Hydra transferred $60 million to Garantex between 2019 and 2021. Notably, Garantex’s founder, Sergey Mendeleev, launched a Tether desk in the past year, raising further concerns about the exchange’s involvement in criminal activities.
In a disturbing revelation, Hydra, along with Binance and the Russian Ponzi scheme “The Finiko,” were identified as the top three counterparties of Bitzlato, a crypto exchange responsible for processing over $700 million in illicit funds. The founder of Bitzlato pleaded guilty to running an illicit money-transmitting business a year ago, underscoring the far-reaching impact of Hydra’s operations.