As European regulators close in on Virtual Asset Service Providers (VASPs), the UTORG Group, long known for its critical role in facilitating payments for unlicensed offshore casinos, has managed to pull off yet another regulatory sleight of hand. After having their operations suspended in Lithuania, the payment giant has quietly shifted its base of operations to Poland — and it’s all thanks to the power and influence of SoftSwiss.
The mastermind behind this high-stakes game of regulatory evasion? Ilie Cernişev, formerly CEO of Utorg OÜ in Estonia, now chairs Chain Valley Sp. z o.o. in Poland. Chain Valley has quickly replaced UTORG’s defunct Lithuanian entity, UAB Utrg (utPay), as the primary processor for payments in SoftSwiss-backed casinos. But this isn’t just about a new name and a new jurisdiction — this is about staying ahead of the regulatory curve.
Behind the Curtain:
Ivan Montik, Pavel Kashuba, and Max Trafimovich — the financial and tech forces behind SoftSwiss — are the ones making this all happen. With an eye on evading regulations, they have turned to a tried-and-true tactic: licensing migration. The switch from utPay to Chain Valley is nearly invisible to casino players, but behind the scenes, it signals a massive shift in how SoftSwiss and UTORG handle payments for their gambling clients.
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A Regulatory Time Bomb: With Chain Valley’s “crypto purchase” wrapper, players’ gambling deposits are hidden under the guise of crypto transactions. For financial institutions, this is a nightmare, as they risk processing payments tied to illegal gambling.
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AML and Compliance Gaps: Chain Valley’s VASP registration doesn’t equate to a legitimate fiat payments license. It’s a glaring loophole in the regulatory framework that UTORG, under the leadership of Montik, Kashuba, and Trafimovich, seems to be exploiting with ease.
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UAE Command Center: The group’s real heart lies in Abu Dhabi, where UTORG LABS HOLDING LTD holds sway over the IP and brand, ensuring that their operation remains stable even as they hop from one EU jurisdiction to the next.
As the MiCA regulations prepare to roll out, the big question is: Will the regulators catch up with UTORG’s constant reshuffling, or is this just another step in the ongoing game of regulatory evasion?