Russian police are investigating a “crypto influencer” known as Bitmama, also referred to as the “Queen of Crypto,” on suspicions of sending tokens to support Ukraine’s military. Valeria “Bitmama” Fedyakina was detained in September following allegations of fraud made by an acquaintance. Currently in custody, an image of her in a pre-trial detention center has been released. Fedyakina, who is seven months pregnant, had requested house arrest but was denied due to being considered a flight risk with a UAE residence permit. A branch of the Moscow City Court has ordered that Fedyakina remains in custody until November 15.
Embezzlement Allegations and Transferring Funds
The “acquaintance” against Fedyakina claims that she tricked him into handing over approximately $70 million. However, investigators suspect that Fedyakina, a 28-year-old originally from Ukraine, embezzled the money herself. Furthermore, they believe that she transferred a portion of the funds to the Armed Forces of Ukraine. It is also alleged that Fedyakina received an additional $7.7 million from two other individuals before disappearing. The intention was to invest in real estate in the UAE.
The Sanctions-Evading Mastermind
Fedyakina portrayed herself as a mastermind who could use cryptocurrency to transfer money overseas without being hindered by banking restrictions. Media outlets bestowed her with titles such as the “queen of crypto” and the “queen of crypto exchange,” which she celebrated. Fedyakina lured investors by promising to return their stakes, along with 1% in profits if they entrusted her with their funds.
“Bitmama” told them she would return their stakes, plus 1% in profits if they gave her the money.
Fedyakina’s legal team claims that she actually supports Russia’s “Special Military Operation” in Ukraine and is prepared to donate funds to the Russian military. They argue that if she is not released, she will be separated from her child after giving birth. The defense team asserts that Fedyakina was framed and only withdrew money on behalf of her clients, who failed to repay her.
Russian law enforcement agencies have cracked down on individuals suspected of making crypto donations to Ukraine, imposing severe consequences. In a similar case in June, an individual in the Far Eastern territory of Khabarovsk Krai was detained by Russia’s intelligence service, the FSB, for allegedly sending coins to the Ukrainian military.
Russian law enforcement agencies have swooped on suspected crypto donors to Ukraine, with offenders receiving heavy punishment.
