GainBitcoin

Gainbitcoin was developed in 2013 to provide users with an online platform for mining and trading bitcoins.

History

2022:100 thousand Indians lost $12.81 billion due to cryptocurrency fraud scheme

In mid-June 2022, it became known that due to the GainBitcoin cryptocurrency piramiad, more than 100 thousand Indians lost over 1 trillion rupees (about $12.81 billion). Such data are contained in the documents of the court case dedicated to this fraud.

The top court India in March 2022 asked Ajaya Bhardwaj, brother of Amit Bhardwaj, another suspect who died, to disclose information to the Indian Executive Office, a government agency that fights financial crimes.

100 thousand Indians lost $12.81 billion due to cryptocurrency fraud scheme

Deepak Prakash, Ajay Bhardwaj's lawyer, said that his client does not know the username and password of his late brother's crypto wallet and said that Ajay Bhardwaj himself has an almost unused crypto wallet and will cooperate with the authorities. India's highest court has heard a petition filed by Ajay Bhardwaj to dismiss the GainBitcoin case against him. He and his late brother Amit were said to have offered a 10% return on bitcoin within 18 months.

Amit Bhardwaj, the organizer of the scam who died of cardiac arrest in early 2022, may have raised between 385,000 and 600,000 bitcoins worth $12.81 billion. The amount could be even higher as bitcoin prices for June 2022 remain volatile. Due to the fact that the cryptocurrency rate fell from its all-time high of $68 thousand in November 2021 to $21 thousand in June 2022.

As of June 17, 2022, the Pune police tracked more than 60 thousand user identifiers and email addresses in the GainBitcoin case, according to numerous media reports. Like most fraudulent schemes, GainBitcoin also had a pyramid scheme, multi-level marketing, with Amit Bhardwaj at the top and then his company 7Star, which operated in India and abroad.

Fraudsters guaranteed 10% monthly return on "bitcoin to bitcoin" deposits for 18 months through tiered marketing programs. Investors were lured to lend corporations 7Star bitcoins under the promise that their investments would be increased during the aforementioned period. However, since the number of bitcoins is limited, the model turned out to be imperfect, but several investors had invested their money by the time they realized that they had made a gross mistake.

However, as of June 2022, several crypto wallets belonging to the accused, which were used to collect cryptocurrency, have not yet been tracked. India's investigation agency reportedly seized numerous electronic devices and crucial documents. Many officers and lawyers associated with the Delhi-based 7Star company were also searched.^[1]

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