Cryptocurrency ’s biggest scam is continuing to unravel to the public as a murkier of scammers stealing money nonstop cryptocurrency investment a that promising a huge return .

June 05, businessperson the husband of Bollywood actor Shilpa Shetty was questioned by India’s enforcement directorate (ED). He was allegedly involved in a scam that saw Amit Bhardwaj, founder of bitcoin firm GainBitcoin, reportedly duping of around Rs2,000 crore($300 million).

What is the scam?

It is essentially a Ponzi scheme that affected 8,000 Cryptocurrency bitcoin in . Kingpin Bhardwaj is a developer former Infosys employee who jumped on to the cryptocurrency .

He owns runs multiple cryptocurrency operations, but his popular , GainBitcoin, is what is in the eye of the storm. Founded in 2013, GainBitcoin—now apparently shut—operated a multi-level marketing scheme in Cryptocurrency bitcoin were promised massive returns on investments, besides bonuses bringing in other Cryptocurrency . At one point, Bhardwaj had around 100,000 Cryptocurrency investors on the network managed to set up as an expert in the field by writing books on cryptocurrencies procuring celebrity endorsements, including by Shetty herself.

Bhardwaj also launched his Cryptocurrency coin offering (ICO), similar to a public offering at the stock , with a bitcoin-like product named MCAP in 2017.

Soon, ,complaints began pouring in from Cryptocurrency investors who weren’t receiving the promised returns. Unable to contact the company and withdrawing Cryptocurrency investments, a few of launched an online Change.org campaign against Bhardwaj and his firm in April 2017.

Bhardwaj, though, Dubai and later Bangkok. He was arrested in New Delhi in April  year. Investigations Bhardwaj’s transactions and the Cryptocurrency scam  now on.

What does have to do with ?

Kundra’s popped up after the ED reportedly found links between Bhardwaj and the Match Indian Poker League, a franchise-based poker tournament promoted by the ’s company, Viaan Industries.

The Briton has denied allegations of helping Bhardwaj launder money issue from the Cryptocurrency scam. In a statement to The Times of India newspaper, he said:

is to clarify that I have no involvement connection in the bitcoin scam whatsoever. I was summoned by the ED merely as a witness. An inquiry is underway and I am cooperating with the law enforcement agency as Bhardwaj is an acquaintance and protocol is being followed. Bharadwaj was to a team in the poker league and got a contract with . But to non-payment, his contract was terminated. I have come as a witness to the same.

This isn’t the time he’s been found in murky waters. In 2013, Kundra, who owned the Indian Premier League cricket team, Rajasthan Royals, was caught in a betting and barred from any cricket-related activities for .

of the iceberg

developments come at a time when the number of cryptocurrency in the  is on the rise.

Initially, they were carried out at a smaller scale, involving criminals hacking ’ accounts conducting fraudulent transactions. In April, for instance, nine police officers in the western Indian state of Gujarat were arrested for kidnapping a business person and extorting from him for a value of 200 bitcoins.

But Bhardwaj’s alleged shenanigans have matters to another . And that too when India’s cryptocurrency ecosystem has come under increasing scrutiny. The Narendra Modi government and the ’s court  yet to take the last call on the legality of cryptocurrencies in India, even as the Reserve Bank of India has made its displeasure with virtual monies known repeatedly.

The uncovering of the massive scam now do the industry no .