In a massive crackdown on one of India’s biggest cryptocurrency scams, the Central Bureau of Investigation (CBI) has seized digital assets worth more than ₹23.94 crore as part of its probe into the GainBitcoin scam. The agency raided over 60 locations in major cities such as Mumbai, Pune, Delhi, Bengaluru, and Chandigarh, discovering a complex Ponzi scheme that allegedly cheated investors of around ₹6,606 crore.
The CBI’s two-day operation, executed on February 25 and 26, 2025, spanned cities such as Nanded, Kolhapur, Mohali, Jhansi, and Hubli, revealing a trove of incriminating evidence. Alongside the seized cryptocurrencies, authorities recovered multiple hardware crypto wallets, 121 documents, 34 laptops and hard drives, 12 mobile phones, and extensive data from email accounts and instant messaging platforms. This consignment is likely to throw more light on the wide web behind the scam, which attracted thousands of investors promising them astronomical returns.
The GainBitcoin scam, started by brothers Amit Bhardwaj—now late—and Ajay Bhardwaj in 2015, posed as a genuine investment opportunity under the cover of Variable Tech Pte Ltd., a private company connected with the fraud. Fruiting a guaranteed 10% monthly return on investments in Bitcoin over 18 months, the scheme invited people to purchase Bitcoin from outside exchanges and transfer it into GainBitcoin’s so-called “cloud mining” contracts. The scheme was dependent on a multi-level marketing (MLM) model, offering attractive referral commissions to recruit new investors and maintain the false appearance of profitability.
Early investors were paid out in Bitcoin for a period, adding credibility to the scheme. But the facade started to crumble in 2017 as the influx of new capital slowed down. In an attempt to cover up increasing losses, GainBitcoin suddenly changed payouts from Bitcoin to an internal cryptocurrency called MCAP, a token that had very little value against Bitcoin. The action left hundreds of investors swindled, their money diverted through a network of sites, including the flagship site www.gainbitcoin.com.
The CBI’s recent searches targeted premises linked to the accused, their associates, and entities suspected of laundering the illicit proceeds. A senior agency official described the operation as a critical step in unraveling the fraud’s full scope, noting that the seized digital assets and electronic devices are under forensic analysis to trace misappropriated funds and international transactions tied to the scam.
The GainBitcoin scam is a grim reminder of the dangers that lie in the unregulated fringes of the cryptocurrency universe. Masterminded by Amit and Ajay Bhardwaj, the scam rode the wave of the Bitcoin boom, taking advantage of the faith of thousands before it came crashing down under its own gravity. Amit’s death has made the investigation more difficult, with Ajay and a web of agents remaining central to the ongoing investigation.
As the CBI continues to probe, the evidence seized—such as the massive cryptocurrency stash—promises justice for the victims. The move by the agency highlights an increasing determination to combat crypto crimes in India, where the promise of virtual riches keeps investors and scammers alike hooked in a game of high risks. With the probe still ongoing, the authorities are preparing themselves for more revelations about the magnitude and extent of this multi-crore scam.
