Russia’s Largest Crypto Miner BitRiver Faces Bankruptcy as CEO Under House Arrest: Report
BitRiver, Russia’s largest crypto mining company, is facing possible bankruptcy after a regional court opened insolvency proceedings against its main shareholder, Group of Companies Fox, which owns 98% of BitRiver. CEO Igor Runets has been placed under house arrest on tax evasion charges. The bankruptcy process was triggered by a $9.2 million claim from Infrastructure of Siberia, an En+ Group subsidiary, over undelivered equipment. BitRiver’s accounts have reportedly been frozen, worsening financial difficulties heightened by ongoing U.S. sanctions imposed since 2022. The firm also faces separate claims from Rosseti Siberia for unpaid electricity bills totaling about $60,000. BitRiver’s operations have been marked by executive departures, dormant social media accounts since early 2022, and an inability to respond to legal and financial obligations, as seen in recent court proceedings. The U.S. sanctioned BitRiver for enabling Russia to monetize its energy resources through crypto mining, making the company vulnerable due to dependence on imported equipment and payment systems.
