Russia Cracks Down on Moscow City Crypto Hub in Major Fraud Bust
Russian authorities have cracked down on a major cryptocurrency laundering ring operating in Moscow City. The Federal Security Service (FSB) and Ministry of Internal Affairs (MVD) raided several unregistered crypto exchange offices, disrupting nine foreign-coordinated channels used to funnel stolen funds abroad.
Over 20 employees from these exchanges were detained for their involvement in the operation, which targeted vulnerable populations, including retirees. The network relied on young operatives recruited from across Russia and used couriers to collect cash from defrauded victims.
The crackdown also hit Bitriver, one of Russia's largest Bitcoin mining operators, whose founder Igor Runets is accused of defrauding a major domestic metallurgical and energy conglomerate. Top lawmakers are intensifying warnings against digital assets, advising citizens against purchasing Gram, a token linked to the Telegram messaging ecosystem.
Investigators have launched criminal proceedings under Part 4 of Article 159 of the Criminal Code, which covers large-scale fraud committed by an organized group. The suspects face up to 10 years in prison if convicted, and authorities are working to identify additional victims for restitution.