GainBitcoin Investigation Highlights $790M Crypto Fraud in India

[encrypted]

The arrest of Ayush Varshney marks a key development in India’s decade-long investigation into the GainBitcoin cryptocurrency fraud. The scheme, initially set up as a cloud-mining investment platform, allegedly used a multi-level marketing structure to attract new deposits while paying earlier investors. Darwin Labs co-founders, including Varshney, are accused of developing the technical backbone of the platform, including mining pools, Bitcoin wallets, and the MCAP token.

Authorities estimate the scam affected around 8,000 investors, with total reported losses of about 6,606 crore Indian rupees (~$790 million). The case continues to unfold following raids at over 60 locations in February 2025, reflecting one of India’s largest alleged crypto frauds to date.

[johnblockbuster]

“fixed monthly returns of 10% in Bitcoin”
me: yeah sure, and I’m the Queen of England

[chainsniff]

another day another ‘cloud mining investment platform’ that turns out to be a pyramid… who could’ve guessed