A significant international investigation led by the UK's National Crime Agency (NCA) has resulted in the arrest of 84 individuals and the seizure of over £20 million in cash and cryptocurrency linked to a billion-dollar Russian money laundering network.

The operation specifically targeted two Russian-speaking networks, Smart and TGR, which provided services to various illicit actors, including Russian elites, cybercriminals, and drug gangs.

The investigation began with the arrest of courier Fawad Saiedi in 2021, who was found with over £250,000 in cash, leading authorities to uncover a vast money laundering scheme.

Key figures in this operation include Ekaterina Zhdanova, head of the Smart network, who was sanctioned by the U.S. Treasury's Office of Foreign Assets Control (OFAC) for her role in facilitating illicit financial operations.

Zhdanova, along with Georgy Rossi from TGR, has been implicated in laundering operations that helped Russian elites evade sanctions and move significant amounts of money through digital assets.

Zhdanova is alleged to have laundered over $2.3 million in suspected ransomware payments and facilitated the movement of £2 million into the UK for property purchases.

The networks primarily used Tether, a stable cryptocurrency, due to its stable exchange rate, which made it a preferred choice for laundering operations.

Investigators have also linked the Smart and TGR networks to funding Russian espionage activities and supporting the sanctioned Russia Today media platform in the UK.

The NCA estimates that £12 billion in criminal proceeds is generated annually in the UK, with £100 billion laundered, largely due to London's status as a global financial hub.

The Financial Action Task Force (FATF) has called for stricter oversight of virtual assets to combat financial crime effectively, highlighting the need for regulation of virtual asset providers.

Both Zhdanova and Rossi are believed to have profited significantly from their operations, charging around three percent for laundering transactions involving billions.

The operation has intensified financial pressures on Russian-speaking laundering groups in London, which have reportedly raised commission rates due to increased operational difficulties.