Himachal Pradesh’s Deputy Chief Minister, Mukesh Agnihotri, has issued a stern warning to the public about the perils of crypto Ponzi schemes. In light of a significant crypto fraud scandal involving an illegal investment of Rs. 2,500 crore in the state, Agnihotri emphasized the need for vigilance. He stressed that the unregulated nature of the crypto market exposes investors to the risk of fraud, market manipulation, and security breaches.

Both the Reserve Bank of India (RBI) and the Securities Exchange Board of India (SEBI) have confirmed that cryptocurrencies, including Bitcoin, lack legal authorization in India. Agnihotri revealed that over 300 complaints related to crypto fraud have been filed with the police from various districts in the state, resulting in substantial financial losses for the victims.

The Himachal Police have taken action against those responsible for the crypto Ponzi scheme, making several arrests and seizing assets worth millions. The Deputy Chief Minister urged the public to exercise caution and avoid falling prey to Ponzi schemes and crypto fraud.

He stated that the criminals involved in this crypto Ponzi scheme would face severe penalties under the Banning of Unregulated Deposits Schemes (BUDS) Act, 2019, designed to address fraudulent financial schemes and ensure accountability for the perpetrators.