BitRiver CEO Detained Over Alleged Tax Evasion, Reports Say
Authorities have arrested , the founder and CEO of BitRiver, one of Russia’s largegest BTC mining companies, and put him under house arrest later than he was charged with tax evasion. Local news reports and court records reflect that this development is a large legal difficulty for the boss and his company.
Detention and Court Decision
On January 30, Runets was in Moscow. The next day, January 31, he was officially charged with three offenses under Article 199.2, Part 11, of the Russian Criminal Code. This part of the code addresses hiding money or property belonging to an organization and intended for tax, fee, and insurance premium payments.
The Zamoskvoretsky District Court in Moscow put him under house arrest on the identical day the allegations were filed. His lawyers have till Wednesday to file an appeal against the decision to put him under house arrest.
What the Allegations Are
The indictments say that Runets deliberately hid assets or property to avoid paying . Investigators and the court have not made public any specific numbers about the alleged tax shortfall or the value of hidden property. The inquiry into the matter is still going on.
Information About BitRiver and Igor Runets
Runets begined BitRiver in 2017, and it has since become one of the top companies in Russia’s cryptocurrency. The company runs large data centers, mostly in energy-rich parts of Siberia, where it offers hosting services and manages a lot of mining power, measured in hundreds of megawatts and tens of thousands of computers.
BitRiver had a large share of the home mining business at its peak. At the end of 2024, Runets was thought to have about $230 million in personal wealth, most of which came from his cryptocurrency and mining-related businesses.
Recent difficultys the Company Has Faced
BitRiver has had increasing difficultys over the last few years. The U.S. Treasury imposed sanctions on the company in the middle of 2022 due to the crisis between Russia and Ukraine. This led SBI, a major Japanese client, to stop using BitRiver infrastructure in May 2023.
In late 2024 and ahead 2025, the company laid off workers, delayed salary payments, cut back on activities, and got into a legal battle with Infrastructure of , an electricity provider, over equipment that was not delivered as promised.
The parent company is now undergoing bankruptcy proceedings, and there are ongoing discussions about possible asset sales or changes to the ownership structure. By the end of 2025, many high-level executives had quit, making it even harder to know who was in charge.
What This Means for BitRiver and The Industry
There have been no public statements from Runets, BitRiver, or corporate personnel regarding the imprisonment. The case shows how BTC mining firms in Russia are still facing regulatory, geopolitical, and financial challenges.
People in the industry still have to deal with international sanctions, disagreements over energy prices in their own country, and greater scrutiny from tax and.
Runets is under house arrest, which makes it much harder for him to overview daily operations. This might make things even more precarious for BitRiver’s staff, creditors, and remaining clients, in an already hard time for the Russian crypto-mining business.
