Blum Founder and Former Binance Executive Arrested, $BLUM Airdrop at Risk of Cancellation?

Jakarta, Pintu News – The cryptocurrency world has been rocked again with the news of the arrest of Vladimir Smerkis, co-founder of Telegram-based crypto project Blum and former executive of Binance in Russia.

The arrest was made in Moscow on suspicion of large-scale fraud, as reported by Russian state media TASS. The court has approved a request for Smerkis’ detention for the duration of the investigation.

This situation caused great concern in the crypto community, especially Blum users who were waiting for the long-promised BLUM token airdrop.

Fraud Allegations & Smerkis’s Past

Vladimir Smerkis is currently being investigated for an alleged violation of Article 159 of the Russian Criminal Code, namely massive fraud. If found guilty, he could face a prison sentence of between 2 and 12 years.

Local Russian media outlet Mas mentioned that the case may be related to Smerkis’ old projects, such as The Token Fund and Tokenbox, which reportedly caused investor losses of up to IDR 246.5 billion ($15 million).

This past history has led the public to question the credibility of projects that Smerkis has run or is currently running. Although he was previously recognized as an important figure in Binance’s expansion in Russia, his reputation is now on the line.

Also read: Bitcoin (BTC) Breaks Rp1.74 Billion, Highest Weekly Close in Crypto History!

Quick Reaction from Team Blum: Disconnect

Responding to this case, Blum immediately took quick steps to cut ties with Smerkis. On May 18, 2025, Blum officially announced through its X account (formerly Twitter) that Smerkis had resigned from his position as Chief Marketing Officer (CMO). They emphasized that he was no longer involved in the project’s operational activities or strategic decisions.

Blum also assured his community that the platform’s activities will continue as usual. The project is known for its interesting features, such as crypto trading directly on Telegram Mini Apps, as well as token rewards and airdrop programs.

However, the quick decision to separate itself from Smerkis was still not enough to erase the concerns of users and investors who were starting to lose faith.

Read also: Pi Network Price Up 3% Today (5/21/25): 5.7 PI Tokens Ready for Release!

BLUM Airdrop Uncertainty: The Promise That Still Hangs in the Balance

One of the most sensitive issues raised by this arrest is the clarity of the BLUM token airdrop that was promised to take place in the third quarter of 2025.

Many users have participated in Blum’s Drop Game, which is a point collection system to qualify for the airdrop. However, there is no clarity on the continuation of the token distribution process.

Renowned crypto influencer, RK Gupta, voiced the community’s disappointment through a sharp statement: “No airdrop. No updates. Just silence. Is it all for nothing?” These comments reflected the unrest of many users who felt abandoned and began to doubt the credibility of the project as a whole.

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Reference:

• Crypto Times. Ex-Binance Exec and Blum Co-founder Arrested in Russia. Accessed May 20, 2025.
• Featured Image: The Crypto Times