The Investigation Service of the Ministry of Finance said the accused conducted virtual asset transactions worth tens of millions of US dollars without registering with the National Bank of Georgia.
Georgia’s Ministry of Finance Investigation Service arrested the manager of an unregistered virtual asset service provider, the agency said in a statement published on August 12.
Seizure Includes Dozens of Bank Cards
The agency said officers seized computer equipment, dozens of bank cards, various types of documentation, cash amounting to $83,903 and 300 euros, and cryptocurrency valued at $79,600, the total value of which comes at $163,503. The statement does not give a valuation date for the cryptocurrency figure.
According to the statement, the investigation determined that the accused was conducting virtual asset transactions worth tens of millions of US dollars without mandatory registration with the National Bank of Georgia, including the conversion of virtual assets and cash. The agency said that through these activities, the accused facilitated uncontrolled international transactions in the country.
The statement does not name the accused, the company, or the individual’s nationality and does not state the period over which the alleged activity took place or the date of the arrest. The agency published six photographs and a video alongside the statement.
Charge Carries Three to Five Years
The offense is provided for in Article 192, Part 2, subparagraph “a” of the Criminal Code of Georgia, which provides for imprisonment for a term of three to five years, according to the statement.
Money laundering and tax evasion are not among the charges. The agency said measures are being taken to identify and expose other individuals involved in the activity and to reveal facts of tax evasion and possible legalization of illegal income. Both are described as objectives of the ongoing investigation rather than as filed counts.
Registration With the National Bank Is the Threshold
Georgia requires virtual asset service providers to register with the National Bank of Georgia under the VASP registration framework that took effect on July 1, 2023. The requirement carries anti-money laundering and know-your-customer obligations and was introduced in line with Financial Action Task Force recommendations.
The same registration threshold appeared in the National Bank’s response to a US sanctions action five days earlier.
Shelbit Sanctioned Days Earlier Without NBG Registration
The US Treasury’s Office of Foreign Assets Control designated Georgia-registered SHPS Shelbit and its owner Siavash Kayvanpour on August 7 as part of an action targeting networks it said were used by the Iranian regime. OFAC said the Shelbit Exchange received more than $1 million in digital assets from wallets linked to the Islamic Revolutionary Guard Corps and sent more than $2 million back to IRGC addresses. The Crypto Times reported the designation on August 8.
The National Bank said on August 9 that SHPS Shelbit had never applied to register as a virtual asset service provider and was therefore not regulated by the central bank, adding that Business Registry records showed the company’s registration had been cancelled. The bank said its framework is designed to prevent entities associated with illicit activities from entering the market.
Batumi Takedown Preceded Both Actions
In June 2026, the US Attorney’s Office for the Eastern District of Pennsylvania charged Ruslan Igorevich Tkachuk and Alexander Vladimirovich Ledenev, both residing in Batumi, with conspiracy to launder monetary instruments and sting money laundering over their alleged operation of AudiA6, a service the department said laundered more than $389 million in cryptocurrency. Both remain in Georgian custody, and the US Attorney’s Office said it will seek extradition.
The takedown involved the US Secret Service, IRS Criminal Investigation, Europol, Eurojust, and law enforcement partners, including Georgia.
Georgia Licensed Bybit and Signed a Stablecoin Deal With Tether
Bybit registered with the National Bank of Georgia as a virtual asset service provider on November 5, 2024, which The Crypto Times reported at the time. The exchange obtained a payment service provider license from the central bank in late 2025 and launched a payment card in Georgia in March 2026.
In May 2026, Tether and the Government of Georgia announced GEL₮, a stablecoin tied to the Georgian lari, with Prime Minister Irakli Kobakhidze saying the country was laying foundations for a more connected and digitally empowered financial world.
Individuals in Georgia are exempt from income tax on profit from the sale of cryptocurrency, and the sale or exchange of cryptocurrency for lari or other currency is not subject to VAT, under a 2019 Ministry of Finance ruling.
