BitRiver, once the dominant force in Russia’s Bitcoin mining industry, is now facing potential collapse as financial pressures and legal challenges intensify. A court has placed its parent entity, the Fox Group of Companies, under formal observation following the accumulation of significant debts and outstanding liabilities.
A major factor behind the legal action is a dispute with Infrastructure of Siberia, which is seeking over $9 million in damages. The claim relates to a substantial advance payment made for mining equipment that was never delivered. After the hardware failed to materialize, the energy company filed a lawsuit and secured a favorable court ruling, further deepening BitRiver’s financial strain.
Source: cryptorank.io