🚨 "Crypto Queen" Jailed: Russian Mom behind $23M Bitcoin Scam Unmasked!
law
⚖️ 🏛️Court Slams Down on 'Bitmama':
Russian mother Valeria Fedyakina—nicknamed “Bitmama”—has been sentenced to seven years in a penal colony for running a $23 million Bitcoin pyramid scheme. She must also repay victims in full. The Moscow court found her guilty of large-scale fraud and operating without a license.
💰 🎭 The Scam: The $23 Million Crypto Illusion:
Over just two months in 2023, Fedyakina tricked investors by offering covert fund transfers from Dubai to Russia via crypto to bypass sanctions. Instead of investing, she allegedly embezzled the funds—with reports claiming she moved up to $15 million a day.
Her Russian clients sent crypto (like USDT/USDC) to her wallets based in Dubai, trusting her to:
1. Convert the crypto into Russian rubles, and
2. Transfer those rubles back to their accounts in Russia—all while avoiding sanctions, banking scrutiny and evade capital controls or tax liabilities.
But instead of doing that, she simply kept the crypto for herself, stealing millions.
🏨🧳From Luxury Hotels to Crypto Lies
Operating from upscale Moscow hotels under her brand "Bitmama Finance," she presented her services as investment opportunities in commodities. Her network exploited lax anti-money laundering (AML) checks and used offshore Ukrainian entities to stay under the radar.
👮♀️🚓 Arrested Pregnant—And still in Jail
Caught in September 2023 while trying to flee, Fedyakina was six months pregnant at the time. She later gave birth while in custody. Prosecutors sought a 10-year sentence, but the court landed on seven due to mitigating factors.
🌍 ⚠️Crypto, Sanctions & Loopholes:
Experts say this case reflects individual opportunism, not state-sponsored schemes. Fedyakina’s fraud highlights how stablecoins like USDT/USDC and jurisdictional loopholes are commonly abused for money laundering and sanctions evasion.