CBI arrests Darwin Labs CTO in GainBitcoin crypto scam
6.7 Security CBI arrested Darwin Labs CTO Ayush Varshney for his alleged role in the GainBitcoin scam, which defrauded investors of up to 80,000 Bitcoin. Over 60 locations were raided in the ongoing probe.
India's Central Bureau of Investigation (CBI) has arrested Ayush Varshney, co-founder and CTO of Darwin Labs Private Limited, in connection with the GainBitcoin cryptocurrency fraud case. This scheme is considered one of India's largest crypto frauds, reportedly defrauding around 8,000 investors of up to 80,000 Bitcoin—nearly $790 million. GainBitcoin, which began in the mid-2010s, lured investors with promises of high monthly returns through a Ponzi and multi-level marketing structure. As new deposits slowed, payouts shifted to the less valuable MCAP token. Darwin Labs is alleged to have developed the scheme’s technological infrastructure, including the investor platform, payment and wallet systems, and the MCAP token itself. Authorities have raided over 60 locations across India as part of the investigation, which is being conducted under multiple sections of the Indian Penal Code and the Information Technology Act. The crackdown underscores the increasing risks and regulatory scrutiny in India's crypto market.
