India’s Biggest Cryptocurrency Scam – Revelations Get Murkier

The cryptocurrency world has again been held in awe with a high profile scam that has British businessman Raj Kundra implicated. Kundra had been invited by the Indian Enforcement Directorate (ED) on the 6th of June for questioning on his alleged involvement in the scam which saw Amit Bhardwaj, GainBitcoin’s founder reportedly duping investors off their money, to the tune of Rs2,000 crore ($300 million).

What really transpired?

GainBitcoin is a cryptocurrency platform that existed mainly in India, designed to look like a Ponzi scheme and already pulling up a massive 8,000 cryptocurrency investors. Bhardwaj has been pointed out as the person who masterminded the scam. He is a software developer and worked with Infosys, before jumping on into cryptocurrency.

He has been identified to own quite a number of other cryptocurrency platforms, but it is GainBitcoin that is currently putting him in the news for all the wrong reasons. The company has been in existence since 2013 and has since then operated in a Ponzi structure where investors where promised outrageous profit rates and additional bonuses for referring other investors. It is actually not a surprise that Bhardwaj could pull over 100,000 people into his business, considering how much of a thought leader he had established himself as, having written quite a number of thought-provoking books on cryptocurrency.

Bhardwaj had even gone as far as launching an ICO for the platform, much similar to the IPO of The stock market. The scheme didn’t last long before complaints started pouring in from concerned members who were beginning to observe breaches in terms of the contract. On further attempt, investors realized that the company couldn’t live up to its national promises and as such resulting in tension and massive request for withdrawal by investors.

Investigations have been launched into the transactions after Bhardwaj was intercepted in Bangkok and taken for further questioning.

Now here the role Kundra played in the company issue

The Indian ED had to invite Kundra after evidence was reportedly found, linking Bhardwaj to the Match Indian Poker league. Although the Briton has seriously denied any involvement with the scam, it is left for time and investigations to do the job. This is not the first time that the Briton will be involved with shady deals as he recently, in 2013 was indicted for betting related offenses.

It is unfortunate that this development is reported at a time when the country is been held ransom by scammers. The present case is making things worse, painting the cryptocurrency industry black, especially as there have been increased concerns about increasing rate of public industry