ED arrests 2 in massive BitConnect crypto scam
The Enforcement Directorate (ED) has arrested Nikunj Bhatt and Sanjay Kotadia for their roles in the huge BitConnect Ponzi scheme, which scammed over 4,000 people across 95 countries out of $2.4 billion by promising fake returns through a phony trading bot.
Both were picked up under anti-money laundering laws.
How the fraud unfolded—and what's happening now
BitConnect's founder, Satish Kumbhani, is still on the run while investigators keep digging. The scam didn't just stop at fake investments—one accomplice even kidnapped associates to extort crypto worth crores.
Nikunj Pravinbhai Bhatt helped launder some of those funds into other cryptocurrencies.
So far, the ED has frozen investments and cash worth around ₹19 crore at five locations, attached assets worth approximately ₹2,170 crore, and Indian authorities have seized nearly $190 million in cryptocurrency (and about ₹13.5 lakh in cash).
The case is still active as authorities try to track down more missing money and bring everyone involved to justice.