India`s Crypto Scam failed: Investors alerted the Police

A multi-million cryptocurrency scam has been destroyed by the crime branch of India’s financial capital on June 5, 2018
05 June 2018   1552

The Flintstone group, pretenting to operate as the real estate company since 2016, sold a lifestyle of Carribean homes and promised citizenships in African countries to disaffected investors on the pretext of allowing them in on a “soon-to-be-legal” cryptocurrency - the MoneyTradeCoin (MTC). Applied as an enticement for investors, the group convinced that putting more money in the coin would rise the chances of citizenship, and consequently equate to higher returns. The firm was able to trap hundreds of crores of Indian Rupees (worth tens of millions of U.S. dollars). 

As per the Mumbai Police, earlier this year a group of businessmen warned officials about the swindling business. Jointly, they had invested over Rs 1.7 crore (US$ 253,130) in the real estate company and were pledge of high returns. Nevertheless, their suspicions were caused when Flintstone group executives gave no answers to their questions and often missed payout dates.

Policemen raided the firm’s offices on June 4, and 2 people involved with the fraudulent firm were arrested. The alleged mastermind of the operation - Flintstone Group managing director Amit Lakhanpal - stays hiding and the police suspect that he may have been warned about the raids several days earlier, and fled the country in a bid to disappear from the authorities.

Presently more than 70 employees of the company have nowhere to go to, and the police are inquirring about their involvement in the matter. During the raid several photos of Lakhanpal with Mumbai’s celebrities and politicians were unearthed by the police, sparking off the question if there were well-connected people involved in the fraud. Evidently, the business has interests in Dubai, with the MTC sold as “an intellectual property jointly owned by Dubai based firm Bitcoin Global FZE, UAE.”

VanEck & SolidX to Withdraw BTC ETF Application

Bitwise and Wilshire Phoenix' Bitcoin applications are still pending
18 September 2019   46

The bid for Bitcoin ETF launch by VanEck and SolidX, considered the most likely candidate for approval, was withdrawn amid continuing uncertainty from the US Securities and Exchange Commission (SEC).

VanEck and SolidX planned to place their Bitcoin ETFs on the Chicago Options Exchange (Cboe). However, as follows from the notification published on Tuesday, on September 13, the latter withdrew the application for a change in the rules, which, if approved, would allow launching the corresponding tool.

Previously, SEC postponed the solution several times at the request of VanEck and SolidX. The last time this happened in August was when the decision on Bitcoin ETFs from Bitwise Asset Management and Wilshire Phoenix was also postponed.

The final deadlines for decision making on Bitwise and VanEck / SolidX applications were on October 13 and 18, respectively. Wilshire Phoenix's decision is due on September 29th.

It should be noted that over the past few years, various companies have sought approval from the SEC to launch exchange-traded funds, but each time the regulator refused. Most often, the reasons for the negative decision were explained by the risks of market manipulations and insufficiently developed market control tools.