The Federal Security Service of Russia actively uses cryptocurrencies to fund espionage activities in Europe, including recruiting teenagers. One of the recent cases involves Canadian citizen Layken Payven, who, according to the investigation, was recruited at the age of 17 to collaborate with Russian intelligence.
This is reported by Finway
How the FSB Recruited a Canadian Teenager
After being radicalized online in 2023, Payven traveled to Donetsk, where he joined the pro-Russian organization “Interbrigades.” There, FSB agents detained him, intimidated him, and forced him to work for Russian intelligence, assigning him a handler with the call sign “Elephant.” After that, Payven received instructions and headed to Europe. In Copenhagen, finding himself without cash, he reached out to his handler for financial assistance and received a transaction of $130 in bitcoins. In total, over $500 in cryptocurrency was deposited into his crypto wallet, which he was supposed to exchange in Poland.
However, in Warsaw, in a state of fear and intoxication, the teenager voluntarily approached the police and confessed to collaborating with the FSB. In December 2024, a Polish court sentenced him to 20 months in prison. Payven admitted his guilt and actively cooperated with law enforcement.
Cryptocurrencies as a Tool for Funding Espionage
Analysts from Recoveris and Global Ledger were able to trace the movement of bitcoins received by Payven. It turned out that the funds came from large cryptocurrency wallets, presumably controlled by the FSB. In particular, one of these wallets, according to Global Ledger data, processed over $600 million in crypto assets since June 2022.
“Transactions from wallets linked to the FSB followed a structured money laundering scheme,” the analytical report states.
Experts believe that after the mass expulsion of Russian diplomats and agents from European countries post-2022, Russia began actively recruiting teenagers and untrained individuals. According to NATO representatives, teenagers are a vulnerable, cheap labor force in need of money, making them easy targets for Russian intelligence services.
Additionally, in 2023, a group of young Belarusians and Ukrainians was discovered in Poland, funded by cryptocurrencies to install cameras on railway tracks leading to Ukraine and spread propaganda. According to Recoveris CEO Marcin Zarakowski, GRU/FSB wallets regularly demonstrate activity.
Through cryptocurrencies, the FSB not only funds espionage but also supports private mercenaries in Donbas and bribes European politicians to promote pro-Russian and anti-Ukrainian ideas.
Experts explain that cryptocurrencies allow bypassing international sanctions, as any amounts can be transferred instantly across the globe without state barriers. At the same time, the transparency of the blockchain enables intelligence services to monitor agents’ expenditures.
The story of Layken Payven serves as further evidence of how Russia employs new forms of hybrid warfare, involving non-professionals in espionage activities using modern financial tools.