BitRiver Founder Igor Runets Detained in Russia Over Nearly 1 Billion-Ruble Fraud Case

Highlights:

• A Russian District Court has ordered that BitRiver founder Igor Runets be moved from house arrest to a pretrial detention centre.
• Investigators said the new move was necessary to prevent Runets from influencing witnesses.
• The court ruled that Runets will remain in detention for two months, until authorities complete investigations.

Russian authorities have taken tougher actions against Igor Runets, the founder of BitRiver, the country’s largest cryptocurrency mining company. On July 29, a local news outlet reported that the Moscow Zamoskvoretsky District Court has ordered that Runets be moved from house arrest to a pretrial detention centre. This aims to restrict his movements and ensures that he does not influence the court proceedings.

Founder of Russia’s Largest Crypto Miner Held Over Alleged 1 Billion-Ruble Fraud

A Moscow court has moved BitRiver founder Igor Runets from house arrest to pretrial detention for two months over alleged large-scale fraud involving nearly RUB 1 billion. Investigators allege that… pic.twitter.com/3h1x4rXTmc

— Wu Blockchain (@WuBlockchain) July 30, 2026

Overview of the 1 Billion Ruble Fraud Case and the Russian Court Decision

Runets has been accused of large-scale fraud under Part 4 of Article 159 of Russia’s Criminal Code. Investigators claim the offence involved an organized group. In addition, they noted that the case revolved around mining equipment supplied to En+, a major Russian energy and metals company. 

Investigators also reported that the equipment caused losses worth roughly 1 billion rubles for En+. Because of the size of these alleged damages, law enforcement officials asked the court to replace house arrest with detention. They also argued that Runets could try to influence witnesses if he remained outside prison. 

The court has already accepted those arguments and approved the request. It also ruled that he should remain there for at least two months while investigators continue looking into the case. So far, neither BitRiver nor Runet’s legal team has publicly responded to the new court ruling. Moreover, officials are expected to rely on technical reviews of the mining equipment and witness statements from En+ before deciding on the next steps in the ongoing court case. 

BitRiver Founder and Other Offenders Face Rising Scrutiny in Russia

This is not the first legal issue involving Runets. In February, Russian authorities accused him of hiding assets that were meant to cover unpaid tax obligations. Those claims led to his arrest and placement under house arrest while investigators look into the accusation. 

Meanwhile, BitRiver is also facing significant financial pressure. The company is currently facing bankruptcy proceedings, which could force an ownership change soon. BitRiver’s parent company, Fox Group, reportedly owes roughly $9.2 million and has filed for bankruptcy after failing to repay creditors. 

Russian authorities have also placed Telegram founder Pavel Durov on an international wanted list over terrorism-related charges. On July 29, Crypto2Community reported that Russia’s Federal Security Service (FSB) confirmed the charges and had issued an international arrest warrant. 

𝗝𝗨𝗦𝗧 𝗜𝗡 🇷🇺: Russia's Federal Security Service has issued an international arrest warrant for Telegram founder Pavel Durov, escalating an ongoing criminal case that accuses him of facilitating terrorist activity. pic.twitter.com/5pYHBm1fUq

— Blockto (@CryptoBlockto) July 29, 2026

The FSB faulted Telegram for failing to remove channels, group chats, and bots that Ukrainian intelligence services, terrorist organizations, and extremist groups allegedly used to recruit operatives, finance their activities, and carry out their attacks. Durov had earlier denied the allegations, noting that accusations were politically motivated. He also accused Moscow of using it to pressure Telegram into weakening user privacy.

Durov stated:

“Russia has opened a criminal case against me for “aiding terrorism.” Each day, the authorities fabricate new pretexts to restrict Russians’ access to Telegram as they seek to suppress the right to privacy and free speech. A sad spectacle of a state afraid of its own people.”