BitCapital: how a ghost company traps thousands of Ukrainians in a debt trap.

According to ТСН: Despite the announcement of the National Bank of Ukraine (NBU) about the illegality of its activities and the absence of an office in Ukraine, the financial technology company BitCapital (or 'Bitcapital') continues to draw thousands of Ukrainians into financial difficulties.

Journalists from the investigative project 'Khapuga.ua' found that this company registered in Britain uses illegal methods for debt collection.

The 'crypto-cover' scheme

Officially, BitCapital positions itself as an innovative financial service that provides instant loans in cryptocurrency (the stablecoin USDT) through its website and mobile application. The company's advertising states that funds are provided specifically in cryptocurrency.

However, lawyers claim that clients actually receive transfers to ordinary bank cards.

Oleg Bolotsky, the head of a law firm, emphasizes that the money comes from various sources:

'We don't know where the money comes from, as this money comes from various sources, and these sources are just individuals. That is, it's not a company, but transfers between individuals. From card to card.'

Lawyer Denis Puzin notes that the company actually converts the funds:

'It transfers them in hryvnias. That is, there is, I understand, a certain wallet, and in this case, it converts to Ukrainian hryvnias and provides it in the form of a loan directly to the consumer of the financial service.'

A representative of BitCapital assures that the availability of a crypto wallet is not necessary: it is automatically created on the site for the subsequent exchange of funds to the card.

Debt trap: crazy interest rates and rising debt

Clients are lured in by offering low interest rates. For example, a loan of 300 USDT for 30 days is promised to be repaid with an amount of 372 USDT.

However, upon a missed payment, the total debt sharply increases in just a few days. Illya Kolesnyk, a human rights defender, notes that the charges are unjustified:

'They usually charge not even interest but penalties. I often encounter cases where a client writes that they took 300 USDT 30 days ago, and now they want 3000 with interest. These are clearly unreasonable interest rates calculated without grounds.'

Experts confirm that BitCapital's interest rate is significantly higher than what Ukrainian legislation allows.

NBU's Decision

The National Bank of Ukraine has already analyzed the work of BitCapital and recognized it as illegal.

The NBU noted that the service 'BitCapital', formally providing loans in USDT, actually issued loans in the national currency of Ukraine — hryvnia, bypassing all established regulatory mechanisms.

As of today, the NBU has officially registered 700 victims of the racketeering by BitCapital's collectors, although lawyers believe that the actual number of victims exceeds a thousand.

Testimonies of the victims and collector racketeering

The seven hundred victims of BitCapital's collectors' racketeering are only officially registered data. Lawyers are convinced that the number of victims is much higher.

One of the victims, Olga, recounted that she did not take a loan but became a victim of scammers:

'They don't care whether I took this money or not. They need someone to return these funds. 1100 USDT was taken out in my name. They even wanted me to return 10,000 USDT.'

Collectors use blackmail techniques:

'They threatened to call my neighbors at work, that my photo would be on billboards. They sent banners that they were going to distribute... They also recorded conversations and glued them together with other conversations.'

Olga also mentioned a shocking incident:

'My mom calls me, I pick up the phone — but it's not my mom. They say: 'If you don't find money by the end of the hour, you might come back to an empty house.'

Lawyers believe that BitCapital shows particular cruelty. Denis Puzin reports cases of pressure on servicemen:

'We are approached by servicemen of the Armed Forces of Ukraine, who are defending the state, and even called their commanders demanding funds.'

Moreover, active pressure is exerted on debtors. Illya Kolesnyk confirms:

'In the last few months, they have actively started to intimidate people.'

Ghost company and police inaction

The owners and leaders of BitCapital are not afraid of criminal liability, as lawyers say this is a well-thought-out fraudulent scheme.

The creditor is physically not present in Ukraine. According to them, the company's office is located in London. Lawyers and clients have never seen a company representative in person. It is almost impossible to receive a response to official requests, as the feedback form does not work, and the email is inaccessible due to a problematic domain.

Until the NBU's decision, formally BitCapital was represented by a British legal entity. Now, the company has reportedly changed owners to another British structure, and lawyers believe that 'the constant change of companies' indicates its illegality.

The National Police and Cyber Police, despite the obvious violations of the law, do not react to this situation. Lawyers confirm that although proceedings have been opened, 'it has not gone to court.'

While law enforcement agencies remain inactive, the company continues to profit from Ukrainians’ financial difficulties, forcing them to pay tens of times more than they received.

The editorial team of the investigative project 'Khapuga.ua' plans to submit official requests to regulatory authorities and continues research on this topic.