BTCMining Shut Down After $18,000 Lost In Global Crypto Scam

BTCMining, a UK-based crypto asset business, has been shut down following numerous complaints from customers across various countries. These customers reported that they had paid for crypto mining services but did not receive the promised returns or the ability to withdraw their assets. The complaints were initially brought to the attention of Action Fraud, the UK’s national fraud and cybercrime reporting center. Victims claimed they had not received the mining services they had paid for and were often subjected to additional payment demands.

Upon investigation, authorities discovered that BTCMining Limited did not have a legitimate registered address in the UK, which is a significant red flag in any business operation. The company claimed to operate a mining service where customers paid to mine crypto and receive the resulting income. However, the allegations suggest that the company was scamming users across several countries, including Estonia, Mauritania, Iran, New Zealand, Poland, and Romania.

A hearing at the High Court in Manchester on 28 April 2025 resulted in the company’s closure. David Usher, chief investigator for the Insolvency Service, highlighted the global nature of the fraud. “The fact that BTCMining Limited was attracting customers globally makes our intervention particularly important,” Usher said. “We acted on the complaints before their reach could have affected countless more individuals. It’s vital that the public, both here in the UK and abroad, are protected from companies acting in this way.”

Investigators were unable to contact the company’s director, Stibich Martins Yhaicha Luzia, who had been the sole director since the company’s incorporation in January 2024. Attempts to reach him through known email addresses and telephone numbers were unsuccessful. Additionally, the company’s websites became inactive or provided no new contact details. The director’s contact address, listed with Companies House, was a residential property. The occupants were unaware of the business and had not given permission for their address to be used.

Although six complaints have been formally lodged with Action Fraud, authorities believe the actual number of victims could be much higher. The complaints revealed that customers collectively lost more than $18,000. However, this figure may only represent a fraction of the total financial impact. Investigators are concerned that more individuals may have been affected and have yet to come forward.

This incident underscores the risks associated with investing in crypto mining services, particularly those that lack transparency and legitimate registration. The closure of BTCMining serves as a reminder for investors to conduct thorough due diligence and verify the legitimacy of any crypto-related business before engaging in financial transactions. The global reach of the fraud highlights the need for international cooperation in regulating and monitoring crypto-related activities to protect consumers from such scams.