My.Video games divests creator platform allegedly used to violate Russia sanctions

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My.Video games has divested Boosty, its former creator help platform after allegations it was used to violate worldwide sanctions on Russia. In keeping with an investigation by Dutch outlet Nieuwsuur, creators solicited cryptocurrency donations on the platform after which used these funds to help Russian battle efforts.

Whereas Boosty’s father or mother firm, CEBC, and its father or mother firm My.Video games are situated within the Netherlands, the corporate has ties to Russia. MyGames was a part of Russian web big VKontakte (VK) previous to the battle. Finally, Alex Chachava — who will not be on a sanctions record — bought the developer for $642 million in 2022. This divestiture allowed the corporate to maneuver out of Russia to Amsterdam and proceed working.

At present, Elena Grigorian serves at My.Video games CEO, whereas Chachava serves as the corporate’s chief alchemist. Below her management, My.Video games has offered Boosty to Cypriot businessman Pavel Kharaneka, founding father of Broadsmart Group.

“In 2023, we started a restructuring course of that spun off the non-game improvement and publishing companies of My.Video games and positioned them beneath the administration of CEBC. We started negotiations to promote these property in March 2024 and we’re happy to announce that they’ve been finalized. This step helps the corporate’s dedication to focus all its sources on the core enterprise, specifically creating distinctive gaming experiences for gamers throughout the globe,” mentioned Grigorian.


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The sale to Kharaneka is anticipated to shut in Q3 2024.

“I’ve lengthy wished to broaden my portfolio with digital enterprise property, and I’m glad to now have that chance with CEBC. We reside in an period the place digital content material is an integral a part of folks’s each day lives, serving to them study, specific themselves, and monetize their expertise and creativity. Boosty and DonationAlerts have clear potential, and I look ahead to seeing how these platforms proceed to evolve and contribute to the artistic group beneath new management,” mentioned Kharaneka.

My.Video games denies allegations

In fact, this transaction occurred simply days after Boosty customers allegedly used the platform to avoid worldwide sanctions. My.Video games denied the allegations in an e-mail to GamesBeat.

The platform pointed to insurance policies it has in place to adjust to worldwide legal guidelines. Moreover, it cooperates with regulation enforcement businesses upon request. These embrace its sanction screening process (a part of its anti-money laundering coverage), anti-bribing and anti-corruption insurance policies.

In keeping with a My.Video games spokesperson, the platform has terminated its relationship with Kirill Fedorov, the creator Nieuwsuur recognized. Moreover, they highlighted that Fedorov didn’t disclosed the aim of those funds on the Boosty platform. Quite, he disclosed this on Telegram.

In keeping with NOS.nl, the Dutch Monetary Intelligence Unit is at the moment conscious of the accusations. Whereas unconfirmed, this might allegedly result in putting Chachava on the sanctions record or additional investigations from Dutch authorities.

My.Video games and its subsidiaries deny that regulation enforcement has contacted the businesses and that it’s beneath investigation. Equally, it denies the allegations that VK CEO Vladimir Kirienko offered My.Video games for beneath market worth, and that Chachava and his household don’t have any relationship to Vladimir Putin or Kirienko past the sale of My.Video games.

Furthermore, My.Video games “intends to guard its enterprise fame by all accessible means, together with authorized proceedings. The corporate is already involved with authorized advisers and is getting ready for the mandatory authorized actions,” a spokesperson for the corporate instructed GamesBeat.


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