Bitcoin demand in India is ground for crypto-fraud

The efforts of the Indian government to demonstrate led to an unforeseen increase in the Bitcoin price in this country. The government’s decision led to a sharp increase in popular interest in Bitcoin. After the decision, the search term “buy bitcoin” could be identified as one of the most popular Google trends.

A sensible alternative to cash

After the first onslaught of people who tried to get their ‘sudden’ black money down, a second wave followed. These people are looking for a sensible alternative to cash and are driving demand for Bitcoin.

But as with all new things, the Bitcoin adoption in the country comes with its own typical challenges. The sudden interest in Bitcoin, without a sound knowledge of crypto currencies, makes the local community vulnerable to fraud.

The majority of Indian Bitcoin users are simple speculators who know relatively little about the technical details. This gap has resulted in Bitcoin investment projects sprouting up – including cloud mining and stock exchanges. BTCIndia seems to have been created by such a gap.

BTCIndia is found guilty of fraud in a Reddit thread. The editor ‘twistyeyed’ claims that BTCIndia takes advantage of India’s price differences and that the corresponding website link was deleted after it was addressed to Reddit. The Reddit account ‘twistyeyed’ also reminded that there should always be an investigation. If you are in doubt, you should always go back to the community and ask there before sending your BTC to a certain destination.

Warning signals that the editor addressed are, among other things, the course rates on the website that fluctuate strongly and the deposit address that leads directly to fraudsters.

Transaction details

Another editor gave his transaction details, which should serve as proof for the thread “Scammed at” (German: Betrogen durch Another editor named Anducck added in this article, “Compared to the real rates in India (which so far are no more or less than 770 and 790 US dollars), > 900 US dollars is a clear sign of fraud.”

Another Reddit thread called “Has anyone done any trading with” raised further doubts: “Did anyone do any trading on”? In the article, editor Nimble Bodhi said that he was sure that BTCIndia’s site was a fraud. The template of the site, as well as the promises and the graphics had already been used for other fraudulent exchanges. One should avoid these in any case.

Ultimately, a growing interest in Bitcoin is good, but people should take their steps in the new direction with caution.