The turmoil commenced with reports of a raid conducted by Russian authorities on the premises of crypto exchange Beribit in late March, purportedly linked to the Crocus City Hall terrorist incident. Subsequently, Beribit, an officially sanctioned exchange in Russia, announced via Telegram that discrepancies in the company's financial records were discovered during a leadership transition, necessitating an audit.

Presently, tensions have escalated, as more than fifty clients of Beribit have occupied the exchange's offices, demanding the return of over $4 million in funds, as reported by Gazeta.Ru. Social media videos depict customers receiving chocolate as a substitute, along with assurances of resolving deposits within 1-15 days.

According to the report, Beribit employees attempted to exit through a rear door but were intercepted by irate customers who alerted the authorities. Beribit has since stated that it is processing withdrawals, with the initial batch of payments already disbursed to clients; however, another source suggests that only clients who filed police reports received funds.

Russian Duma Considers Exchange Prohibition

Meanwhile, lawmakers in the State Duma, Russia's lower house, have introduced a legislative proposal aiming to prohibit cryptocurrency exchanges in the country. Nonetheless, crypto transactions and registered mining enterprises would remain permissible, as per Gazeta. The proposed bill also includes a ban on cryptocurrency advertisements.

In response, another legislator argued that such a ban could compromise Russia's national security interests, citing cryptocurrency's role in procuring weaponry and other defense assets from non-Western sources, thus circumventing sanctions and other constraints.