Russia arrests Blum co-founder Vladimir Smerkis on fraud charges
Vladimir Smerkis, a co-founder of the Telegram-based crypto project Blum, has reportedly been arrested in Moscow, Russia, on fraud allegations, amid Blum confirming he is no longer affiliated with the project.
The Zamoskvoretsky District Court of Moscow approved a request from investigators to keep Smerkis in custody while he is being investigated, Russian state-owned news outlet TASS reported on May 18.
Smerkis — who previously ran operations for Binance in Russia — is suspected of committing fraud on a “large scale,” pursuant to Article 159 of the Criminal Code of the Russian Federation, violations of which can result in imprisonment ranging from two to 12 years.
It isn’t clear if charges have been filed against Smerkis.
Russian news outlet Mash tied the fraud allegations against Smerkis to his involvement in The Token Fund and Tokenbox crypto ventures that he co-founded in 2017, where investors reportedly suffered combined losses of around $15 million.
Blum, which is not involved in The Token Fund and Tokenbox ventures, wrote to X on May 18 that Smerkis resigned from his role as the firm’s chief marketing officer and would no longer be involved in the project in any capacity.
Blum said its team remains fully committed and focused on its goals and that its day-to-day operations would continue as usual.
Blum is a crypto project that integrates a decentralized exchange into Telegram Mini Apps, enabling users to trade crypto, earn rewards and participate in token airdrops.
No Smerkis, no BLUM token?
The incident sparked concerns that Blum’s token airdrop won’t follow through as planned.
In an April 3 X post, Blum hinted at a potential BLUM token listing in the third quarter of this year.
Blum users could receive BLUM tokens by earning Blum points in its newly launched Drop Game, where users tap on snowflakes falling from their mobile phone screen, and convert those points into tokens during the project’s slated token generation event.
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However, the news of Smerkis’ arrest appears to have shaken community confidence that the BLUM token airdrop will happen.
“Blum owes its users a clarification on the planned airdrop,” one X user and Blum community member said, while crypto influencer RK Gupta added:
“No airdrop. No updates. Just silence. Was it all for nothing?”
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The Office of Foreign Assets Control said it was taking additional action against the crypto exchange after including it on its list of Specially Designated Nationals in 2022.
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The Ministry of Defence is being urged to reveal details of a nuclear incident that took place at Faslane naval base earlier this year.
Figures show that a Category A event occurred at HMNB Clyde between 1 January and 22 April.
The Ministry of Defence (MoD) defines Category A as the most serious – however, it has claimed the incident was categorised as of “low safety significance” and did not pose a risk to the public or result in any radiological impact to the environment.
HMNB Clyde is based on the banks of Gare Loch at Faslane in Argyll and Bute.
It is the Royal Navy’s headquarters in Scotland and is home to Britain’s nuclear submarines, which includes the Vanguard vessels armed with Trident missiles.
A Vanguard nuclear submarine at HM Naval Base Clyde. Pic: PA
Nuclear Site Event Reports (NSERs) detail incidents at nuclear facilities and are classified based on their safety significance and impact.
Responding to a written question earlier this year by SNP MP Dave Doogan, Maria Eagle, minister for defence procurement and industry, confirmed dozens of incidents at Faslane and nearby RNAD Coulport – the storage and loading facility for the Trident programme.
Nuclear site events (22 April 2024 to 22 April 2025):
• Coulport: 13 Category C and 34 Category D
• Faslane: 1 Category A, 5 Category B, 29 Category C, and 71 Category D
Ms Eagle said she could not provide specific details of the Category A or B incidents “as disclosure would, or would be likely to, prejudice the capability, effectiveness or security of any relevant forces”.
She assured Mr Doogan that “none of the events caused harm to the health of any member of staff or to any member of the public and none have resulted in any radiological impact to the environment”.
In a letter to Mr Doogan, UK Defence Secretary John Healey said: “I can confirm that all reported events were categorised as of low safety significance.
“In accordance with the International Nuclear and Radiological Event Scale (lNES) significant safety incidents are categorised at the lowest level – level one of seven.
“Incidents that might fall into this category include equipment failures, human error, procedural failings or near misses where no harm [was] caused to the health of any member of naval base staff, any member of the public, or any resultant radiological impact to the environment.”
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In the past week, concerns have been reignited over the environmental and public health impact of the UK’s nuclear weapons programme.
It comes following an investigation by The Guardian and The Ferret, which uncovered radioactive water from RNAD Coulport had leaked into Loch Long due to faulty old pipes back in 2019.
The secrecy battle went on for six years.
The Scottish Environment Protection Agency (SEPA) reported the discharges were “of no regulatory concern”, while the MoD said there had been “no unsafe releases of radioactive material” into the environment.
In response to the “catalogue of failures”, the SNP’s deputy leader is calling for an “urgent explanation” from the UK government as to what actually happened at Faslane.
MSP Keith Brown said: “Nuclear weapons are an ever-present danger and this new information is deeply worrying.
“With repeated reports of serious incidents at Faslane and now confirmed radioactive contamination in Loch Long, it’s clear these weapons are not only poorly maintained but are a direct threat to our environment, our communities, and our safety.
“Worse still, the Labour government is refusing to provide any details about the Category A incident.”
The MoD said it was unable to disclose the details of the incidents reported for “national security reasons”, but stressed all were categorised as of “low safety significance”.
A spokesperson for the MoD said: “We place the upmost importance on handling radioactive substances safely and securely.
“Nuclear Site Event Reports demonstrate our robust safety culture and commitment to learn from experience.
“The incidents posed no risk to the public and did not result in any radiological impact to the environment. It is factually incorrect to suggest otherwise.
“Our government backs our nuclear deterrent as the ultimate guarantor of our national security.”
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