Russian-speaking cryptocurrency exchange WEX, formerly known as BTC-e, was sold to a militiaman who fought in separatist Ukranian region of Donbass. He earlier explained that such inrecognized states as Donbass, Abkhazia and Transnistria are in need of financial system resistant to sanctions.   

The sale agreement on cryptocurrency exchange WEX, formerly known as BTC-e, with a former militiaman called Dmitry Khavchenko with the callsign ‘Sailor’ was signed on 21 July. The deal went into the final stage. This was found out by exchange's customers during an improvised webinar with Dmitry Vasiliev, the nominal director of the exchange, registered in Singapore, Russian cryptocurrency news outlet ForkLog reports.

"I signed all the papers and made a video confirmation that my signature and I have no complaints. In order to make this move, it is necessary to submit bank statements in Singapore. The bank promised to prepare an extract within five days. After that, our lawyer will talk with 'Sailor' about the future of the exchange," Dmitry Vasilyev said.

WEX is a rebranded version of the BTC-e exchange which was shut down in connection to a multi-billion dollar money laundering operation with a Russian national named Alexander Vinnik reportedly charged in connection with the criminal operation.

The nominal director of WEX claims that he did not receive any money from selling property rights.

"I was not paid anything, although initially I assumed that it would be a sale. But given the financial state of the exchange, I am even willing to pay extra bonus for selling it," he claims.

Vasiliev also said that, from the beginning of 2018, he was increasingly alienated from the management of the exchange.

"I has no access to cryptocurrency storages, the team gradually changed and I was offered to act as a media face of the exchange, but I refused to act like that. I had a personal arrangement with former administrators about BTC-e debts reimbursement, but then a third party appeared. It was a new team that pushed out me, then administrators, and as a result no one understands what is happening. Since the new year, BTC-e debts reimbursement process has ceased. In fact, I hold the post of a nominal director and am responsible for the legal issues of the exchange. The old team completely stopped communicating with me. I'm negotiating with 'Sailor' through the lawyer," Vasiliev pointed out.

WEX welcomed the new team when its old team was searching for patrons in Russia (in Russian such patronage is called "roof").

"You know what it means to do business in Russia. Lawyers introduced us when we were looking for a "roof" for WEX. At first everything sounded very beautiful. We were talking about our business expanding in Vladivostok and the Crimea, but as a result it turned out that the exchange was simply extorted. 'Sailor' was the initiator of the deal, in March or April, he rudely invited me to sign the documents. I understand that the same team extorted the business from Pavel Durov [Telegram creator]," now former CEO of WEX said.

He linked all current financial problems of the exchange with the activities of the new team.

"Business was bringing $5-10 million per month, it was very easy to scale with just opening representative offices in Ukraine, China or whatever. Instead of it, they took it and frankly killed. This is the most stupid move that can be made, to kill a cow that brings money," Vasilyev added.

He found it difficult to answer the question of how much money is on the exchange's accounts, because the exchange has never undergone audits of its cryptocurrency wallets.