Russian authorities detain Blum co-founder in criminal fraud case: report

The Zamoskvoretsky Court of Moscow initiated the arrest of a former Binance executive and co-founder of the Blum tap-to-earn app, Vladimir Smerkis, on fraud charges.

According to Russian news site TASS, citing law enforcement agencies, the Zamoskvoretsky District Court granted an investigator’s request to detain Smerkis for alleged fraud. Details regarding the charges remain unclear.

The agency’s interlocutor cited Article 159 of the Criminal Code of the Russian Federation.

News of the arrest comes one day after Blum posted on social media that Smerkis has stepped down from his role as CMO.

Smerkis “is no longer involved in the development of the project or in any co-founder capacity,” the company said on X.

In a separate post, Blum thanked Smerkis “for his contribution to the project,” adding that day-to-day operations will continue as usual.

What is Blum?

Blum is a Telegram-based tap-to-earn (T2E) crypto mini-app that combines gamified earning with a hybrid decentralized exchange (DEX) platform.

Launched by a team including former Binance executives, Blum aims to make crypto accessible and engaging for both newcomers and seasoned traders.

Smerkis was previously in charge of the Binance CIS segment.