U.S. sanctions Russian hacking company Operation Zero for cryptocurrency funding of stolen proprietary software

Odaily Planet Daily News: The U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) announced sanctions against Russian cybersecurity company Operation Zero and its leader Sergey Sergeyevich Zelenyuk, accusing the company of funding cyber theft activities targeting U.S. trade secrets through cryptocurrency. The sanctions also include five other individuals accused of using cyber attack tools to threaten U.S. national security.

This action stems from a U.S. Department of Justice investigation last year. Australian citizen Peter Williams admitted to stealing proprietary software from his employer, a U.S. defense contractor, and delivering confidential information to Operation Zero in exchange for millions of dollars in cryptocurrency. Williams has pleaded guilty to two counts of trade secret theft.

The U.S. Treasury stated that Operation Zero primarily engages in trading exploit tools that leverage software vulnerabilities to gain unauthorized access, steal data, or control devices. The company also pays rewards through a bounty system to those who carry out attacks. Treasury Secretary Scott Bessent said that if anyone steals U.S. trade secrets, the U.S. government will hold them accountable and will continue to protect sensitive technology and national security.