Indian regulators confiscate $190m in crypto from Bitconnect

Indian law authorities have entered the cryptocurrency worth $ 190 million (RS 1,646 crosses) in relation to a BitConnect survey.

According to the report of The Indian ExpressThe Directorate of the Application of the Act (ED) in Ahmedabad – The Application Agency for the Act responsible for the Survey on Economic Connections and Financial Fraud – has carried out searches through Gujarat on 11 and February 15.

The emergency also entered $ 16,300 (RS 13.50,500) in cash, a SUV and various digital devices.

The investigation falls under the law on the prevention of money laundering (PMLA), following the initial cases recorded by the Surat Cid Crime police station.

BitConnect has promised investors up to 40%

According to ED officials, BitConnect worked worldwide between November 2016 and January 2018, targeting investors around the world, including India. The organization not formed in a company has created a large network of promoters who have received commissions for bringing new investors.

Introduced in 2016, the BitConnect Ponzi program has disguised itself as a high -performance investment program, where investors were led to acquire BitConnect parts and promised yields of up to 40% per month thanks to a ” Volatility software trading bot ”.

The platform would have displayed “fictitious” yields on its web portal, claiming around 1% of daily yields, which is equivalent to 3,700% per year.

However, as with any Ponzi program, BitConnect operators paid investors using funds requested from new investors. During its two years, the program has raised $ 2.4 billion in the world, with the program and the token collapse After the publication of American state regulators Commands of transfer and desire.

However, the investigators called for fraudulent complaints, because BitConnect diverted investor funds to digital portfolios controlled by the accused instead of negotiating.

The ED survey revealed a complex network of cryptocurrency transactions, many of which led on the Dark web to hide their origins. Despite these challenges, the authorities successfully retraced several web portfolios and located digital devices containing cryptocurrencies via Ground Intelligence.

This crisis adds to the previous ED actions in the case, which included the fixing of assets worth $ 56.5 million (RS 489). Sources show that foreign nationals were also among BitConnect investors, and American federal authorities are investigating the “main accused”.