Documented Case

BTCMining Limited

A UK-registered company sold cryptocurrency mining services to customers around the world. Customers reported paying for mining services, not receiving what was promised, and then facing further payment demands. The company was wound up in the public interest.

Investment type: Cryptocurrency mining services
Documented investor losses: Complaints received from customers in six countries; no single aggregate figure published
Date / period: Winding-up petition March 2025; wound up 2025
Relevant organisation: The Insolvency Service / High Court
Nature of the matter: Insolvency — wound up in the public interest following worldwide complaints

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Background

BTCMining Limited (company number 15415402) was registered in the United Kingdom and held itself out as operating a cryptocurrency mining business.

The Insolvency Service investigation found that the company's registered address was false and that its sole director could not be traced.

What investors were promised

Customers were sold cryptocurrency mining services on the basis that mining would be carried out on their behalf and that they would receive the resulting cryptoassets or proceeds.

How the scheme operated

Customers paid for mining packages. Investigators found no evidence of genuine mining operations behind the company's claims, and no verifiable UK presence supporting the business the company described.

What happened to investors

Customers reported paying for mining services
The promised service and assets were not received
Customers were subjected to further demands for payment
Complaints were reported to Action Fraud from customers in Estonia, Mauritania, Iran, New Zealand, Poland and Romania

Insolvency and legal developments

A winding-up petition was advertised in The Gazette on 26 March 2025 and the company was wound up in the High Court in the public interest following the Insolvency Service investigation, reported on 30 April 2025.

What the case demonstrates

The case shows how UK company registration can be used to give an international operation the appearance of domestic substance.

Requests for further payments before an asset or return can be released is a pattern seen repeatedly in cryptoasset matters and is rarely a route to recovering the original sum.

Key Lesson

A UK company number is not a mark of legitimacy. Where further payments are demanded before promised assets can be released, no additional funds should be sent and the matter should be reported.

Source & Further Information

UK-based crypto business shut down following worldwide complaints
The Insolvency Service (GOV.UK) — published 30 April 2025 (updated 10 July 2025)
View the official source

These case studies summarise matters recorded in public sources including FCA publications, Insolvency Service and Serious Fraud Office material on GOV.UK, court judgments and the Companies House register. They are provided for information only, are not legal advice, and do not describe work carried out by BJM Recovery Ltd for any client. Where an investigation or set of proceedings remains open, the position stated is the position recorded at the date of the cited source.

BJM Recovery Ltd

How We Approach Investment Loss Cases

Every investment recovery matter is assessed individually. The circumstances of the investment, the available evidence, the parties involved and the applicable recovery process will determine the appropriate course of action.

Our starting point in any matter is the documentation. We reconstruct the investment chronologically from agreements, payment records, statements, correspondence and marketing material, and we establish precisely which entities and individuals were involved at each stage, and in what capacity.

We then examine what is on the public record: the Companies House position, any insolvency appointments, regulatory publications, enforcement action and court proceedings. Public records frequently determine which routes remain open, whether that is a creditor claim in an insolvency, a claim against a regulated party in the advice or pension chain, participation in a distribution administered by a regulator, or civil proceedings.

Where a matter has been formally referred to us, we deal with the referring organisation directly and work within the process that applies to that referral.

If you have lost money through an investment that has failed, become insolvent or stopped communicating, we can review the information available and set out the position clearly.

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Have you experienced something similar?

Investment losses can be complex and every situation is different. If you have lost money through an investment that has failed, become insolvent or stopped communicating, our team can assess the information available and discuss the potential next steps.

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