Author: Jagdish Kumar, India
In order to earn fast money and even make them rich in short time, many Indians have been falling in the trap of buying cryptocurrencies.
With the boom on virtual/cryptocurrencies taking India by storm since January 2018, when the Bitcoin prices was over $10,000, many India have purchased alternate coins which have no value and even have no idea what the value of coins is the market.
As there is no ban in buying crypto coins in India, People are forming fake companies and selling bitcoins and other cryptocurrencies, which have no value.
One such company was Goa Games Pvt Limited, which has launched a website cryptocoinshopping.com, which isnow closed down, they have claimed that they are working through government, but the website is now shut.
The company raised million on the pretext of buying coins on your behalf and never deposited the coin in your wallet.
Another such company is buybitcoin.org.in, The Delhi based company was reportedly a new exchange, which was launched early this year. Its parent company is reportedly registered as Ansals Software Private Limited.
A trader named Aman Sethi which began trading on Bitcoin-India.org has said losing about $13,000 on a day for purchasing bitcoin, when the rate was very high.
He now claim that the company has now stopped operations and his whole bank account from where the purchased was done is empty.
Even the police are not taking this serious, though they are registering first information report (FIR) on the basis of the complaint, but are not investigating the matter as there is no clarity in law.
Sudin Baraokar, information technology (IT) & innovation advisor to banks and one of the members on finance ministry’s panel for blockchain technology and digital fiat currency said that the government has been very clear in its communication that cryptocurrencies were not welcome in India.
There are a lot of people who have seen (been aware of) the risk and invested. They knew there is nothing to regulate it (cryptocurrency). That’s the mistake they made, he added.
Baraokar also advised people to stay away from investment in cryptocurrencies till it was made legal, as it could be a scam.
Image Credit: msatechnosoft.in