Share this article
BitConnect’s Victims to Receive $17M in Restitution Seized From Scam’s Promoter
The money will be distributed to approximately 800 victims from over 40 different countries.
Updated Jan 13, 2023, 5:08 p.m. Published Jan 13, 2023, 4:43 p.m.
Make us preferred on Google
A California judge has ordered $17 million in restitution to be paid out to hundreds of victims of the BitConnect Ponzi scheme, the infamous global scam that collapsed in 2018.
U.S. District Court Judge Todd Robinson in San Diego, California, issued the order on Thursday. The money will come from the $56 million forfeited by one of BitConnect’s top promoters, Glenn Arcaro.
STORY CONTINUES BELOW
Arcaro pleaded guilty to one count of conspiracy to commit wire fraud in September 2021. One year later, in September 2022, Arcaro was convicted and sentenced to 38 months in prison for his role in the scheme. Arcaro held a position near the top of BitConnect’s pyramid scheme of promoters, and earned 15% of every investment in BitConnect’s “Lending Program” – which defrauded thousands of investors around the world of an estimated $2.4 billion.
Arcaro is not the only BitConnect bigwig to face consequences for his role in the scheme: BitConnect’s founder, Satish Kumbhani, has been indicted on a host of felony charges, including conspiracy to commit wire fraud, wire fraud, conspiracy to commit price manipulation, operating an unlicensed money transmitter and conspiracy to launder funds internationally. Kumbhani was also sued separately by the U.S. Securities and Exchange Commission (SEC) in September 2021.
However, bringing the BitConnect founder to justice has proved to be a difficult task. Kumbhani, an Indian citizen, disappeared last February after being indicted. Indian authorities confirmed in a legal filing last March that Kumbhani had vanished from India and was assumed to have relocated to another, unknown country.
More For You
KuCoin captured a record share of centralised exchange volume in 2025, with more than $1.25tn traded as its volumes grew faster than the wider crypto market.
What to know:
- KuCoin recorded over $1.25 trillion in total trading volume in 2025, equivalent to an average of roughly $114 billion per month, marking its strongest year on record.
- This performance translated into an all-time high share of centralised exchange volume, as KuCoin’s activity expanded faster than aggregate CEX volumes, which slowed during periods of lower market volatility.
- Spot and derivatives volumes were evenly split, each exceeding $500 billion for the year, signalling broad-based usage rather than reliance on a single product line.
- Altcoins accounted for the majority of trading activity, reinforcing KuCoin’s role as a primary liquidity venue beyond BTC and ETH at a time when majors saw more muted turnover.
- Even as overall crypto volumes softened mid-year, KuCoin maintained elevated baseline activity, indicating structurally higher user engagement rather than short-lived volume spikes.
More For You
Ukraine banned Polymarket and there’s no legal way for it to come back
Polymarket and similar platforms are considered unlicensed gambling operators, leading to blocked access.
What to know:
- Ukraine has no legal framework for Web3 prediction markets, and current legislation provides no recognition for such platforms.
- Polymarket and similar platforms are considered unlicensed gambling operators, leading to blocked access.
- Legal changes are unlikely in the near future, as Parliamentary revisions to gambling definitions are extremely improbable during wartime, leaving prediction markets in a legal deadlock.
Top Stories
