A Moscow court has escalated detention measures against Igor Runets, founder of BitRiver, Russia’s largest crypto mining company.
The Zamoskvoretsky District Court moved Runets from house arrest to a pretrial detention facility on Wednesday, July 29.
He must now spend at least two months in custody while investigators continue building their case.
The fraud allegations
Prosecutors charged Runets under Part 4 of Article 159 of the Russian Criminal Code, which covers large-scale fraud committed by an organized group.
Investigators allege the case caused close to 1 billion rubles in damages to En+, a group of Russian metallurgical and energy companies.
According to investigators, a company controlled by Runets received full advance payment from an En+ subsidiary for mining equipment.
The equipment was never delivered, and the funds were never returned.
Why the court tightened custody
Law enforcement officials pushed for the transfer, citing both the scale of the alleged damages and concerns that Runets could pressure witnesses.
The court sided with investigators and granted the motion.
Representatives for BitRiver and lawyers for Runets have not issued a public response to the ruling.
Investigators say the case will now hinge on equipment examinations and witness testimony from En+.
This is not Runets’s first legal trouble in 2026, as authorities arrested him in February on suspicion of concealing assets meant to cover tax debts.
BitRiver’s troubles deepen
The legal case adds to a difficult stretch for BitRiver, which has ranked first among Russian mining companies by revenue.
Fox Group, BitRiver’s owner, is estimated to carry roughly $9.2 million in debt and has filed for bankruptcy after determining it lacked sufficient funds or assets to repay what it owes.
