The unbelievable Bitcoin cost rally this season has brought a number of new individuals to the crypto-currency globe, a number of people just looking to earn a fast buck without comprehending too much what they’re getting into. Obviously, this type of situation attracts offenders that seem to exploit it, the latest instance being a gang in India.

The Uttar Pradesh Special Task Force (STF) has declared that it recently busted a gang targeting local folks interested in trading Bitcoin. The alleged offenders employed the Local Bitcoin service to find their victims, provided them discounts in the moving rates to lure them into transferring fiat and never sending them any Bitcoin. The authorities say that they had been bombarded with many complaints based on the exact same operational approach that prompted them to take action.

The head of the STF’s cyber wing, superintendent Triveni Singh stated.

“THERE ARE WEBSITES WHERE PEOPLE CAN DEAL IN CRYPTO-CURRENCY WHERE BOTH BUYERS AND SELLERS ARE AVAILABLE. THE GANG FIRST ATTRACTED TRADERS TO BUY THE BITCOIN AT LOW PRICES AND EVEN TRANSFERRED SOME INTO THEIR E-WALLETS TO WIN THEIR FAITH.”

Police officer Singh added

“After this, the fraudster got the original currency transferred into their bank accounts, opened on forged identities, when the traders demanded the bigger amount of Bitcoin. They disappear after withdrawing money from their bank account.”

Unintentional Consequences

While the authorities acted to safeguard Bitcoin investors in this event, it might be the government’ fault that such instances will continue to take place in India. This is due to the fact that the nation’s Bitcoin exchanges are facing the danger of a government crackdown, investigating their documents for possibly easing tax evasion from ‘high net worth’ individuals.

The requirement for Bitcoin in India is flourishing these days as per the transaction volume disclosed, causing individuals even to also ask for it as their wedding present. If the legal online exchanges become excessively burdened with heavy-handed regulations, or will not be permitted to operate freely at all, offline trading will certainly fill the gap.

Author's Bio: 

Ricky Makan is a venture capitalist and Crypto Enthusiast best known for pioneering the market for Digital Marketing. He is a Co-founder of Unkrypted, a platform which provides the latest news and information that helps understand everything about the ever-evolving world of digital currencies. He is been fascinated by Blockchain technology since the first time he heard about it in 2013.