Authorities in India have exposed more virtual asset scams connected to Divyesh Darji, the suspected head of BitConnect Asia, as per the report of Times of India.
Notably, as per the police claims, the accused promoter had also been marketing another doubtful virtual currency-related investment, Regal Coin, where short-term returns of five thousand percent were allegedly offered on any investments made.
Furthermore, the promoter also alleged to have promised Regal Coin would make investors more money than holding BTC. However, the investors would need to stay invested for at least ninety nine days. It is to be noted that Darji’s name also came into view during examination into a different potentially deceptive virtual asset known as Dekado coin.
Interestingly, BitConnect and Regal Coin shared some parallels. A police spokespers says that Darji told investors he had access to a robotic trading algorithm that may possibly produce profit. People who are dealing in this ecosystem know very well that such forward looking statements are a big red flag.
The promoter had also pledged referral bonuses would be paid every eleven days to those who would employ additional people to download the app.
Notably, the price of Regal Coin rose to a peak in late 2017. At that time, it hit close to around ninety dollars. The report of Times of India states that the firm behind the scam project soon after folded after accumulating around forty five lakh INR ( around sixty five thousand dollars). However, local police mentions that the scam could have deceived investors for considerably more.
It is to be noted that the prime accused is allegedly on the run, subsequent to being unconfined on bail a month ago.