The authorities in India have arrested a key individual connected to the cryptocurrency fraud known as the GainBitcoin scam.
India’s federal investigative agency, the Central Bureau of Investigation (CBI), confirmed that it has taken a major step in its ongoing investigation into the cryptocurrency fraud that led to a lot of losses for users.
The arrest also marks an important development in helping security officials catch schemes that defrauded investors of their money.
Source: CBI Headquarters
Also Read: South Korean Ex-Police Chief Jailed for Scandal Linked to Crypto Fraud Probe
According to investigators, the accused, Ayush Varshney, is a co-founder and CTO at Darwin Labs Private Limited. Authorities say he played a very significant role in providing the technical development that was behind the operations connected to the controversial GainBitcoin scheme.
The case revolves around a Ponzi-style crypto investment program that promised participants outrageous returns.
The investigators say the scheme was originally promoted by Variabletech Pte. Ltd., and it encouraged investors to put money into digital asset mining and other related activities. Many people were attracted by the promise of consistent profits from the crypto mining operations.
However, investigators believe the system did not operate as a legitimate investment platform. Instead, it collected funds from and then gave the money to new recruits in order to sustain payouts.
During the investigation, the CBI discovered that several technology systems were developed to support the operation of the investment platform.
Authorities say Ayush Varshney and other individuals associated with Darwin Labs Private Limited were involved in building and managing the digital infrastructure used in the scheme.
This included the development of a crypto token called MCAP, which was created using an ERC-20 smart contract on a blockchain network.
Investigators say the company also helped create several platforms that were used to run the operation when it operated. Some of them included a Bitcoin mining pool website known as GBMiners, a payment gateway for processing cryptocurrency transactions, a wallet service called Coin Bank BitCoin, and the official investor website for the GainBitcoin platform.
On March 9, 2026, immigration authorities caught Ayush Varshney at the airport in Mumbai while he was attempting to travel out of India. After being stopped by immigration officials, he was handed over to the CBI and formally arrested the following day.
Also Read: XRP ETFs Record $1.4 Billion in Inflows Since Launch, Data Shows
