Cryptocurrency exchange Binance provided Russian law enforcement with the personal and transactional data of a customer in 2025, information that was subsequently used to bring terrorism-financing charges against him. The customer, Yuri Belenkiy, a 49-year-old Russian IT specialist with Bulgarian residency, is detained in Russia awaiting trial.
Investigators requested Belenkiy’s transaction history after identifying crypto transfers linked to Ukrainian military fundraising. The exchange responded by supplying records confirming transfers to a wallet listed by Kremlin critic Arkady Babchenko, who had publicly solicited donations for medical equipment for Ukrainian soldiers. The shared material included his date of birth, address, telephone number, passport number, and copies of both his Russian passport and Bulgarian residency permit. Russian authorities allege that between January 2023 and March 2024 he sent more than $700 to entities associated with the Ukrainian military, including a group Moscow designates as a terrorist organization; these details were later incorporated as evidence in the case outline submitted to the Russian prosecutor-general.
The documents further indicate that investigators asked Binance to identify other individuals who had transferred funds to the same wallet, though the outcome was not disclosed. The exchange’s replies came from an email address that Binance’s website had previously listed for Russian and Belarusian law enforcement inquiries.
Binance announced its complete withdrawal from the Russian market in September 2023, stating that operating there was incompatible with its compliance strategy and that no revenue-sharing or buy-back arrangements remained. In a statement, the exchange said it cooperates with lawful information requests from law enforcement globally in accordance with applicable legal and regulatory requirements, and noted that it does not determine how governments use such information.
The incident has nevertheless raised questions about Binance’s obligations under European data protection law. Because Belenkiy holds Bulgarian residency, legal experts have suggested he may be covered by the European Union’s General Data Protection Regulation, which generally restricts transfers of personal data to jurisdictions without adequate protections and typically requires a court order for disclosure. Binance disputed this view, while the European Data Protection Board and Bulgaria’s data protection commission declined to comment or did not respond. The First Department, an NGO supporting people in politically motivated prosecutions in Russia, criticized the exchange for maintaining communication with Russian law enforcement after its public exit.
The origin of the documents was not confirmed, nor was it established whether Belenkiy was registered with Binance as an EU resident.
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