US Designates Russia-Based Cyber Firm for Trade Secret Theft

State Dept EB Bureau

Filed February 24th, 2026

Detected March 1st, 2026

Summary

The U.S. Department of State has designated Russia-based Matrix LLC (Operation Zero) and its director, Sergey Zelenyuk, for significant theft of U.S. trade secrets. This action, taken under the Protecting American Intellectual Property Act and Executive Order 13694, blocks their assets in the U.S. and prohibits U.S. persons from conducting business with them.

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What changed

The Department of State has designated Russia-based cyber-tools broker Matrix LLC (Operation Zero) and its director, Sergey Zelenyuk, for their involvement in the significant theft of U.S. trade secrets. The action, taken under the Protecting American Intellectual Property Act (PAIPA) and Executive Order 13694 as amended, targets individuals and entities involved in the illicit acquisition and sale of "zero-day exploits." Specifically, Peter Williams, an Australian national, stole eight trade secret exploits from a U.S. defense contractor and sold them to Operation Zero for $1.3 million in cryptocurrency. Zelenyuk, the owner of Operation Zero, also established a UAE-based company, Special Technology Services LLC FZ (STS), potentially to circumvent sanctions.

As a result of these designations, all property and interests in property of the designated parties that are in the United States or under the control of U.S. persons are blocked. U.S. persons are generally prohibited from engaging in business with these sanctioned entities and individuals, and doing so may expose them to further sanctions risk. The designations impose specific sanctions outlined in PAIPA and Executive Order 13694, as amended. Regulated entities should review their business relationships and transaction activities to ensure compliance and avoid prohibited dealings with the designated parties.

What to do next

Review business relationships and transaction activities for any dealings with designated parties.
Ensure compliance with U.S. sanctions prohibitions related to Matrix LLC, Operation Zero, Sergey Zelenyuk, and STS.
Consult legal counsel regarding potential exposure to sanctions risk from past or present dealings.

Penalties

All property and interests in property of designated parties in the U.S. or under U.S. control are blocked. U.S. persons are generally prohibited from conducting business with sanctioned persons, and may be exposed to sanctions risk for engaging in certain transactions.

Source document (simplified)

Home Office of the Spokesperson Press Releases … Designation of Russia-Based Zero-Day Exploits Broker and Affiliates for Theft of U.S. Trade Secrets hide

Designation of Russia-Based Zero-Day Exploits Broker and Affiliates for Theft of U.S. Trade Secrets

Fact Sheet

Office of the Spokesperson

February 24, 2026

Today, the Department of State announced the designations of one individual and two entities under the Protecting American Intellectual Property Act (PAIPA) in connection with theft of trade secrets from U.S. persons.

Matrix LLC (AKA Operation Zero) is a Russian cyber-tools broker that publicly advertises itself as a reseller of cyber exploits to various customers, including the Russian government. From 2022 to 2025, Peter Williams, an Australian national, stole eight trade secret “zero-day exploits,” techniques that leverage software vulnerabilities for which there are no patches, from his employer, a U.S. defense contractor. Those components were meant to be sold exclusively to the U.S. government and select allies. He sold these exploits to Operation Zero in exchange for $1.3 million in cryptocurrency payments.

Sergey Sergeyevich Zelenyuk (Zelenyuk) is a Russian national and the director and sole owner of Operation Zero. Zelenyuk established a UAE-based company under the name Special Technology Services LLC FZ (STS), anticipating that the new company would conduct business with various countries in Asia and the Middle East.  Zelenyuk’s effort to establish this company was likely aimed in part at circumventing U.S. sanctions imposed on Russian bank accounts.

Operation Zero and Zelenyuk are foreign persons that knowingly engaged in, or benefitted from, significant theft of trade secrets of United States persons, which occurred on or after January 5, 2023, and is reasonably likely to result in, or has materially contributed to, a significant threat to the national security, foreign policy, or economic health or financial stability of the United States. STS is an entity that is owned or controlled by, or that has acted or purported to act for or on behalf of, directly or indirectly, Zelenyuk.

Concurrently, the Department of Treasury is designating Zelenyuk and his company, Matrix LLC (doing business as Operation Zero), STS, as well as four associated individuals and entities pursuant to Executive Order (E.O.) 13694, as further amended by E.O. 14306.

As a result of today’s action under E.O. 13694, as amended, all property and interests in property of those designated that are in the United States or that are in possession or control of a U.S. person are blocked. U.S. persons are generally prohibited from conducting business with sanctioned persons, and persons that engage in certain transactions or activities with those designated may expose themselves to sanctions risk. As a result of the designations under PAIPA, the sanctions specified in Section 2(b)(1)(A), (D), (H), (I), and (J) of the statute apply with respect to Operation Zero and STS. Individuals designated under PAIPA are subject to the sanctions for individuals outlined in Section 2(b)(2) of the statute.

Today’s action is being taken pursuant to the authorities under the Protecting American Intellectual Property Act (50 U.S.C. 1709) and Executive Order (E.O.) 13694, as amended. For more information on today’s action, please see the Department of the Treasury’s press release. For further information, please submit a media inquiry, or visit our Cyber Sanctions page.