Divyesh Darji, the man behind the infamous cryptocurrency firm and scam Bitconnect has finally been arrested. Darji was arrested shortly after he was spotted attempting to leave Dubai. Darji and his associates in the company have come under heavy scrutiny and have been accused of making away with millions of dollars belonging to Indian investors. Bitconnect has been a big blemish on the cryptocurrency market at a time when there are consistent efforts and milestones being broken in a bid to bring cryptos into the mainstream as well as mass adoption.
Bitconnect did enough damage by making the case even louder and more prominent for crypto skeptics. The fact that even YouTube couldn’t hinder Bitconnect advertising has even been scarier for most users. The nightmare scam sent shockwaves around the crypto universe but hopefully, the recent arrest of Divyesh Darji will work to quell fears among the crypto community. It always induces fear and a feeling of mistrust whenever a hack or scam happens without any arrests or consequences being meted out on the perpetrators. This move thus instills more confidence in the crypto world with the knowledge that crime perpetrators will be punished
Bitconnect had gotten away with fooling people by registering a London office which was later found to be a front. There was no such office in any part of London in reality. The top brass at Bitconnect namely; Satish Kumbhani, Dhaval Mavani, and Divyesh Darji had also promised annual returns of 1 percent a day. which served as one of the attractions to the firm. As all the scams continued to play out in the industry, new industry entrants saw a smooth beginning of this year. In the case of now Defunct firm Bitconnect, investors became cynical and made attempts to pull out their money. Bitconnect could not handle the mass withdrawals leading to them folding and closing shop.
PG Nawarde of India’s criminal investigation revealed that Darji has been living in Dubai probably in a bid to lay low until the dust settled. He further revealed that they got wind of his case when a circular was issued against him. The immigration department tipped off the CID when Darji was just about to board a plane out of Dubai. The accused person’s including Darji had held several workshops in India promising high returns. Darji’s arrest may be good news but the crypto market is still unregulated and a bit risky. Some of the initial coin offerings busting into the scene at the moment are scams that investors have to remain vigilant enough. Despite the scam threats, Darji’s arrest will leave a pleasant taste in the mouth of most investors.
