Vladimir Smerkis, Co-Founder of Blum, Arrested in Russia on Fraud Charges

Key Highlights



• Vladimir Smerkis arrested in Moscow on fraud allegations tied to earlier crypto ventures.

• Russian authorities are holding Smerkis in custody as investigations continue under Article 159 of the Russian Criminal Code.

• Blum project distances itself, confirming Smerkis is no longer affiliated with the team.

• Community concerns rise over the future of the BLUM token airdrop, with silence from the project fueling uncertainty.

Arrest and Allegations

Russian authorities have detained Vladimir Smerkis, co-founder of the Telegram-integrated crypto project Blum, following accusations of large-scale fraud. The Zamoskvoretsky District Court of Moscow approved the request to hold Smerkis in custody during the investigation, as reported by Russian state news agency TASS on May 18.

The fraud allegations reportedly stem from Smerkis’ previous involvement in The Token Fund and Tokenbox, two crypto investment ventures launched in 2017. Russian media outlet Mash claims investors in those projects may have collectively lost around $15 million.

Smerkis, who previously led operations for Binance in Russia, is being investigated under Article 159 of the Russian Criminal Code, which covers large-scale fraud and carries a potential prison sentence of 2 to 12 years. It remains unclear whether formal charges have been filed at this stage.

Source: Blum

Blum Responds

In response to the arrest, Blum issued a statement confirming that Smerkis had resigned from his role as Chief Marketing Officer and would no longer be involved in the project. The team emphasized that Smerkis’ departure would not affect the project's development or day-to-day operations.

“The team remains focused on delivering our goals,” Blum stated via a post on X (formerly Twitter) on May 18.

Blum is a Telegram-based crypto project that integrates a decentralized exchange (DEX) into Telegram Mini Apps, allowing users to trade crypto, earn rewards, and participate in token airdrops.

Concerns Over BLUM Token Airdrop

The arrest has triggered widespread uncertainty among Blum’s community, particularly regarding the anticipated BLUM token airdrop. The project had previously teased a token listing in Q3 2025, with users earning “Blum Points” via a mobile-based Drop Game—where they tap falling snowflakes on-screen. These points were expected to convert into BLUM tokens during the project’s token generation event.

However, the sudden silence from the project following Smerkis’ arrest has left users anxious. Some community members are calling for transparency.

“Blum owes its users a clarification on the planned airdrop,” one user posted.

“No airdrop. No updates. Just silence. Was it all for nothing?” asked crypto influencer RK Gupta.

What’s Next?

While Blum asserts that its operations are unaffected, the project now faces pressure to restore community trust. Whether the token airdrop proceeds as planned could serve as a litmus test for Blum’s credibility in the wake of Smerkis’ arrest.