BitConnect
A high-yield 'lending program' built around the BCC token (2016–2018). Per a U.S. federal indictment, founder Satish Kumbhani ran it as a Ponzi scheme that took about $2.4 billion from investors worldwide.
Also known as: BitConnect, Satish Kumbhani, Glenn Arcaro, BCC
Summary
BitConnect was a cryptocurrency lending platform that operated from 2016 to 2018 around its native token, BitConnect Coin (BCC). According to a U.S. federal indictment, founder Satish Kumbhani operated the platform's "Lending Program" as a Ponzi scheme and obtained approximately $2.4 billion from investors worldwide. [1][2]
Mechanism
The platform claimed a proprietary "Trading Bot" and "Volatility Software" would generate returns. The indictment states that, in reality, earlier investors were paid with funds from later investors and the purported trading did not occur as described. [1][3]
Outcome
Lead U.S. promoter Glenn Arcaro pleaded guilty to a fraud conspiracy in 2021; the DOJ described BitConnect as among the largest cryptocurrency frauds charged criminally at the time. [3] Kumbhani was indicted in February 2022 and, according to reporting, remains a fugitive. [1][2]
Bracketed numbers refer to the numbered sources listed below.
People & entities involved
- Glenn ArcaroLead U.S. promoterIndividualsBitConnect's lead U.S. promoter ('national promoter'). He pleaded guilty in 2021 to conspiracy to commit wire fraud — admitting he earned at least $24M — and was sentenced in 2022 to 38 months in prison.
- Satish KumbhaniFounderIndividualsFounder of BitConnect, which the U.S. DOJ called a $2.4B Ponzi scheme. Indicted in February 2022 on wire-fraud, money-laundering, and price-manipulation conspiracies, he vanished and remains a fugitive (reportedly traced by Indian authorities to Ahmedabad).
Sources (3)
- BitConnect Founder Indicted in Global $2.4 Billion Cryptocurrency Scheme — U.S. DOJ
- Bitconnect (overview) — Wikipedia
- Director and Promoter of BitConnect Pleads Guilty — U.S. DOJ (SDCA)
See also
- Loci (LOCIcoin)TokensA 2017–2018 ICO for 'LOCIcoin' tied to the InnVenn IP-search platform. The SEC charged Loci and CEO John Wise with fraud for raising $7.6M on false claims about revenue, headcount, and user base; Wise also misused investor funds. Settled with a $7.6M penalty and an officer/director bar.
- Blockchain Terminal (BCT)TokensA 2017–2018 ICO (BCT tokens, ~$30M) for a 'Blockchain Terminal' — a Bloomberg-style crypto trading terminal. The SEC and DOJ said convicted ex-hedge-funder Boaz Manor secretly ran it under a fake identity ('Shaun MacDonald'), using associate Edith Pardo as a front, and lied about the product's adoption.
- Crowd Machine (CMCT)Tokens
This page was last updated on Jun 8, 2026. View revision history.