Key Highlights
- ED exposes 26 fake crypto websites used by a pan-India syndicate to cheat investors in India and abroad.
- Scammers used celebrity photos, AI-generated content of crypto experts, and paid small returns to early investors to gain trust, like Ponzi/MLM schemes.
- The gang promoted schemes via Facebook, Instagram, WhatsApp, and Telegram, offering referral bonuses to lure more victims.
The Enforcement Directorate (ED) of India has uncovered a massive crypto-fraud operation involving at least 26 fake websites operated by a pan-Indian syndicate.
According to local news, these platforms were made to look like legitimate crypto investment portals, promising exceptionally high returns to lure people into investing their money, mostly in cryptocurrency.
Some of the websites identified by the ED include goldbooker.com, fincorp.com, wozur.com, cryptobrite.com, bitcodeals.com, cubigains.com, turbominers.com, and metaaibox.com. The victims of this fraud included Indians and foreigners, and they were targeted using sophisticated techniques which made the fraud seem credible.
According to ED officials, the scammers used photos of well-known crypto experts and other celebrities to market the platforms without their knowledge or consent. They first paid small returns to the initial investors to win their trust, a move characteristic of both Ponzi and multi-level marketing fraud.
The accused promoted their schemes via Facebook, Instagram, WhatsApp, and Telegram, with referral rewards for more victims.
To manage the proceeds, they created multiple cryptocurrency wallets, foreign bank accounts, and shell companies. Money collected from investors in India and abroad was reportedly transferred into India via hawala, accommodation entries, and peer-to-peer crypto transactions.
Some of the illicit funds were then used to acquire movable and immovable assets in India and overseas. According to officials, this network has been operating since 2015, gradually converting cryptocurrency into cash to continue its operations.
ED’s recent actions
The ED’s move is part of a wider crackdown on cryptocurrency fraud in India, as authorities grow increasingly concerned about scams that trick unsuspecting investors.
Officials have urged the public to be careful when investing in online crypto platforms and to always check the authenticity of any website or scheme before putting in their money. These phishing scams are just one example of the growing crypto fraud problem in India.
In December 2025, the ED searched several locations in Himachal Pradesh and Punjab connected to a large Ponzi and crypto-MLM scam led by Subhash Sharma, who fled India in 2023.
Investors were defrauded of over ₹2,300 crore, according to investigations, while police seized roughly ₹4,190 crore in criminal proceeds and designated an accused person as a fugitive economic offender.
Crypto adoption in India
Looking ahead, the Indian regulatory and enforcement structure for digital assets is becoming more strict.
From April 1, 2026, the income tax department will be able to search emails, social media messages, cloud-based storage, and cryptocurrency wallets under the Income Tax Bill, 2025. The new law would widen search powers in “virtual digital spaces such as online funds, investment services, and messaging platforms.”
Despite the uncertainties surrounding the rules or regulations, the adoption of crypto in the Indian market is on the increase. As highlighted by the Bybit and DL Research World Crypto Rankings of 2025, the country ranks ninth globally in terms of crypto transactions.
This ranking reflects the country’s growing adoption of crypto for retail transactions and the increasing use of stablecoins for payments and transfers.
Also Read: CBI Uncovers Crypto-Linked Fraud at India’s Geneva Mission
