India has stepped up its fight against cyber fraud as mobile payments and cryptocurrency use spread nationwide. Government systems have saved more than Rs. 11,158 crore linked to 32.80 lakh complaints.
Authorities also blocked thousands of fraudulent apps, SIM cards and mobile device identifiers. Meanwhile, blockchain tools have helped investigators trace large cryptocurrency transfers linked to suspected criminal networks.
Centre Blocks Thousands of Fraud Apps
The Indian Cybercrime Coordination Centre blocked 3,718 mobile applications by June 30, 2026. The list included loan apps allegedly used to deceive borrowers and steal personal information.
Union Minister of State for Home Bandi Sanjay Kumar disclosed the figures in a written Lok Sabha reply. BJP MP PC Mohan had asked about government action against unlawful and misleading applications.
“Till June 30, 2026, a total of 3,718 mobile apps, including fraudulent loan apps, have been blocked,” Kumar said.
The government acted under Sections 69A and 79(3)(b) of the Information Technology Act. Police reports also led authorities to block over 15.75 lakh SIM cards and 5.77 lakh IMEIs.
Meanwhile, the Citizen Financial Cyber Fraud Reporting and Management System received more than 32.80 lakh complaints. It helped prevent fraudsters from taking over Rs. 11,158 crore from victims.
The government launched the system in 2021. It connects law enforcement agencies, banks and payment companies after citizens report suspected financial fraud.
Blockchain Tracking Exposes Crypto Transfers
Indian investigators have also turned to blockchain analysis when tracking money linked to cybercrime. Blockchain records allow officers to follow cryptocurrency transfers across public wallet addresses.
Gujarat CID Crime’s Cyber Centre of Excellence recently identified suspected cryptocurrency transactions worth about Rs. 226.54 crore. The investigation led to 14 arrests.
Authorities examined transfers allegedly connected to online fraud, narcotics trafficking and terror financing. Several digital asset exchanges reportedly provided technical assistance during the investigation.
Blockchain transactions leave permanent public records. Investigators can compare those records with bank information, exchange accounts and customer identity documents.
Law enforcement agencies have also focused on mule accounts. Criminal groups often use such accounts to receive stolen money before moving it through several financial channels.
The I4C suspect registry received more than 30.48 lakh suspect identifiers from banks. Authorities shared details covering 32.08 lakh Layer 1 mule accounts with participating institutions.
These checks helped banks and financial firms decline transactions worth Rs. 25,698 crore by June 30, 2026.
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Crypto Growth Brings Tighter Checks
India’s cryptocurrency market could grow from $3.61 billion in 2026 to $14.21 billion by 2034, IMARC Group estimates. The forecast represents annual growth of about 18.7%.
An estimated 119 million people in India own or use cryptocurrency. Smartphone access, UPI payments and low investment limits have helped platforms reach smaller cities.
India taxes cryptocurrency profits at 30% and applies a 1% tax deduction on qualifying transfers. Current rules do not allow investors to offset crypto losses against other income.
India also plans to adopt the OECD Crypto-Asset Reporting Framework from April 2027. The framework will allow participating tax agencies to exchange information about offshore crypto holdings.
Meanwhile, the Home Ministry launched two fraud-support tools in April 2026. The Money Restoration Module helps return recovered funds, while the Grievance Redressal Module handles account-freezing and lien complaints.
Citizens can report suspected cyber fraud through the National Cybercrime Reporting Portal. Early reports give banks more time to identify receiving accounts and stop disputed transfers.
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