India’s fight against cyber fraud and darknet crime is increasingly combining traditional policing with blockchain analysis. Rather than making illicit finance invisible, many public blockchains create permanent transaction records that investigators can follow across wallets, exchanges and jurisdictions.
Recent cases involving the Gujarat CID Crime, the Ahmedabad Cyber Crime Branch and the Narcotics Control Bureau show how cooperation with digital asset platforms such as Binance is becoming part of that investigative process.
Gujarat Probe Tracks Rs. 226.54 Crore in Crypto Transactions
According to Binance, it provided technical assistance to the Cyber Centre of Excellence under Gujarat CID Crime in an investigation involving alleged cyber fraud and related offences.
Investigators identified suspicious crypto transactions worth about Rs. 226.54 crore, or roughly $23.96 million. After more than four months of field operations and technical analysis, authorities reported 14 arrests.
The investigation linked beneficiary accounts with hundreds of complaints submitted through the National Cyber Crime Reporting Portal while also examining international leads connected to suspected narcotics activity.
Binance assisted with transaction retracing, blockchain analysis and restrictions on relevant accounts to preserve evidence.
Digital Arrest Scams Leave an On-Chain Trail
Crypto tracing has also been used in so-called digital arrest scams. According to investigators, one Ahmedabad Cyber Crime Branch case involved a fraud network worth about $200,000. Victims were pressured into transferring money after being falsely threatened with legal action.
A 90-year-old Gujarat resident reportedly lost Rs. 1.25 crore, while another case involved nearly Rs. 49 lakh being routed through a job seeker in Nepal.
The Binance Financial Intelligence Unit helped investigators identify wallet addresses and mule accounts, allowing authorities to reconstruct parts of the laundering network.
Darknet Drug Networks Face Similar Pressure
The Narcotics Control Bureau has also used blockchain intelligence in darknet narcotics investigations. According to the NCB, Team Kalki had been operating since January 2025 using encrypted messaging services and darknet forums. Binance and the Data Security Council of India assisted with wallet tracing and digital asset freezes.
This followed the 2025 Operation Melon investigation into the Ketamelon network. Authorities said the syndicate shipped more than 600 drug packages across Indian cities and seized crypto assets worth roughly $80,000, or around Rs. 70 lakh.
Also Read: Nashik Crypto Scam: Man Loses Rs 8.55L to Fake Profits
Why this Matters
These cases challenge the idea that cryptocurrency automatically provides anonymity. Public blockchain transactions can expose fund-flow patterns, wallet clusters and links to regulated services. When combined with bank records, device forensics and cross-border cooperation, those records can become valuable evidence.
India’s recent investigations suggest that public-private cooperation is becoming an important part of financial crime enforcement, particularly where cyber fraud, crypto and international networks intersect.
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