Binance helps Indian authorities trace $4.76m in Fiewin gaming scam

As a seasoned analyst with extensive experience in tracking digital financial crimes, I find this collaboration between Binance and India’s Enforcement Directorate to be a significant stride towards ensuring the safety of cryptocurrency transactions. The ongoing battle against cybercrimes, especially those involving complex networks like the one uncovered in the Fiewin app case, requires the combined efforts of both public institutions and private entities.


As an analyst, I’m reporting that Binance, a prominent player in the cryptocurrency exchange market, has assisted the Indian Enforcement Directorate in recovering approximately $47.6 million – funds lost by victims of a fraudulent gaming scheme centered around the online platform Fiewin.

On September 25th, Binance, the globally recognized cryptocurrency exchange with the highest trading volume, aided Indian authorities in examining the Fiewin gaming app case. This investigation led to the apprehension of four people linked to an online gambling fraud.

As stated in the announcement, Binance’s Financial Intelligence Unit supplied essential information that proved vital in tracing the movement of ill-gotten funds and identifying the individuals involved in the criminal network.

According to Binance, the Fiewin app enticed people into participating in internet betting and gaming under the deceptive pretense of guaranteed earnings. Moreover, Binance’s Financial Intelligence Unit (FIU) collaborated in tracing the funds and exposing the unscrupulous network.

The team at Binance discovered that the funds were dispersed to numerous cryptocurrency wallets, which are associated with a worldwide digital currency trading platform.

Despite the uncertainty about whether the $47.6 million has been retrieved or not, Binance confirmed that the investigation is still active, and they are committed to assisting the Indian Enforcement Directorate in identifying and apprehending the larger criminal group responsible for the fraud.

A spokesperson from India’s Enforcement Directorate (ED) highlighted the importance of Binance’s cooperation in deciphering the intricate web of financial misconduct linked to cryptocurrency in the Fiewin app scandal.

The situation at hand underscores the essential role of partnerships between governmental bodies such as the ED and businesses like Binance, in dealing with emerging forms of cyber threats,” emphasized a representative from Binance.

Fiewin represents a digital gaming platform that initially marketed itself as a place where individuals could legitimately make money by engaging in mini-games. Newcomers signed up for the service to join these games, and they could increase their in-game funds through a process called “topping up.

As a crypto investor myself, I discovered that when my holdings surpassed a specific threshold, the app would unexpectedly lock my account, making it impossible for me to retrieve my funds. This issue became prevalent as the Indian police started receiving multiple complaints from users who had fallen victim to this platform and allegedly lost their money, according to Binance.

As more reports came in, the investigation was handed over to the Enforcement Directorate, a specialized Indian agency dedicated to fighting financial crimes.

During the probe, it was uncovered by the Economic Division that Fiewin was involved in a vast global criminal organization that manipulated the transfer of illegal funds using diverse techniques such as bank accounts and cryptocurrency wallets. This intricate system of transactions formed an elaborate network of hard-to-track financial activities.

On prior occasions, the Enforcement Directorate (ED) of India has collaborated with Binance during investigations. Back in May 2024, their joint efforts led to the discovery of the E-Nugget scam – a fraudulent digital investment scheme that employed a gaming platform to deceive victims.

Using blockchain research and on-site probes, the team managed to pinpoint and seize control over 42 digital wallets and a substantial number (hundreds) of banking accounts holding approximately $6 million that were illegally obtained from the gaming platform’s users.

On August 19, 2023, Binance successfully completed its registration process as a reporting entity under the Indian Intelligence, following a seven-month prohibition by Indian authorities for operating without the necessary registration.

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2024-09-25 12:50