The ‘Crypto Queen’ Bitmama From Russia Has Been Arrested in Moscow.

Crypto Queen

According to reports, Valeria Fedyakina, a well-known personality in the crypto industry, is known as Bitmama. She is also famous by her name, “Queen of Cryptocurrency,” and has found herself at the center of a scandal that is a socking for the Crypto community on September 15, 2023. As Russian authorities arrest this businesswoman and Crypto influencer on fraud accusations, she is being questioned about the validity of her business operations.

The Disappearance and Arrest of Bitmama

Bitmama’s disappearance was unexpected. Roughly a week before her arrest, she vanished from the public eye, leaving her investors and followers bewildered. Her Instagram, where she has nearly 55,000 followers, fell silent, and her Twitter account, with 7,000 followers, remained inactive. This disappearance was more surprising as she had been scheduled to speak at an event in Moscow on September 16.
However, a closer look revealed red flags. Her firm’s website was offline, and her X accounts had not been updated since April of the same year. It was becoming increasingly clear that something was inappropriate with Bitmama’s operations.

What are the Allegations imposed on Bitmama?

The arrest of “Bitmama” came after an acquaintance filed a fraud complaint against her. The complainant alleged that Fedyakina had deceived him into handing over a staggering $70 million. This is a huge shock for crypto traders as she was widely regarded as a prominent figure in the industry.
The police investigators began to suspect that Fedyakina might have been operating a “financial pyramid” scheme, where new investments were used to pay off earlier investors, creating the illusion of legitimate returns. As the allegations gained public attention, it was reported that Bitmama had attempted to make a sudden escape with her investor’s funds, leaving her followers in a state of disbelief.

Promises and Business Ventures:

Bitmama had positioned herself as a crypto influencer, promising her investors impressive returns of 1% on the funds they entrusted to her. Additionally, she was the CEO and Founder of a crypto-related company known as Holdinga, which added to her credibility in the crypto world.
Her influence extended beyond her social media presence. She had been featured in various English-language media outlets, including the Arabian Post, and was even recognized as one of the “10 Innovative and Driven Women Entrepreneurs to Follow in 2023” by the International Business Times. She had a UAE residence permit and often listed Dubai as her location on social media channels. It was all an act to give the impression of a successful entrepreneur.

Illegal Crypto Operations:

Bitmama’s activities in the Crypto business are still a mystery. She had previously advertised the potential of Cryptocurrencies for Russians facing international financial restrictions. Moreover, Reports suggested that she worked with a range of “wealthy” clients and had extensive connections with businesses and state-run corporations.
According to Moskvich Magazine, Bitmama had been involved in the crypto industry for a considerable period. She used to frequently facilitated the transfer of cash from clients. She also helps them to withdraw funds abroad. Her “daily turnover” was rumored to be in the “tens of millions of dollars,”. Therefore, it means that she once had a huge sum of money flowing through her hands.

The Legal Consequences

Bitmama’s arrest carried significant legal implications. At the time of her arrest, she was reportedly six months pregnant, which adds another suspense to her story. If convicted, she might end up with ten years of prison, which can be difficult for someone like her.

Police were already alert, which led to her immediate arrest. Currently, she is under custody in a pre-trial detention center. Where she is waiting for her first court hearing, which could determine her fate.

Moreover, the Crypto community that was once smitten by Bitmama’s charisma and apparent success is now holding on to the reality with potential financial losses and shattered trust. Therefore, her arrest serves as a risk that is involved in the Crypto world and the importance of due diligence when investing in this volatile and largely unregulated space.

To wrap up:

The revealed face of once the famous ‘Crypto Queen’ Valeria Fedyakina, the crypto community is left to ponder the impact of her alleged deception. It might also impact the future of cryptocurrency investment.