• About
  • FAQ
  • Landing Page
  • Buy JNews
Newsletter
Crypto News
Advertisement
  • Home
    • Home – Layout 1
    • Home – Layout 2
    • Home – Layout 3
  • Bitcoin
  • Ethereum
  • Regulation
  • Market
  • Blockchain
  • Business
  • Guide
  • Contact Us
No Result
View All Result
  • Home
    • Home – Layout 1
    • Home – Layout 2
    • Home – Layout 3
  • Bitcoin
  • Ethereum
  • Regulation
  • Market
  • Blockchain
  • Business
  • Guide
  • Contact Us
No Result
View All Result
Crypto News
No Result
View All Result

Chinese Police Confiscate Crypto Worth $4.2B From PlusToken Ponzi Scheme

by
December 5, 2020
in Uncategorized
0
189
SHARES
1.5k
VIEWS
Share on FacebookShare on Twitter

The crypto space, since its inception, has attracted a lot of nefarious individuals who usually prey on the lack of crypto knowledge of willing investors.

A major pointer to this is the Ponzi scheme platform known as PlusToken. The platform was raided by the Chinese police in 2019 and the organizers arrested. According to recent court proceedings, cryptocurrencies seized during the arrest are estimated to be worth about $4.2 billion today. The court further disclosed that the confiscated cryptocurrencies are now the property of the national treasury and “will be processed pursuant to laws.”

The November 19 ruling by the Jiangsu Yancheng Intermediate People’s Court gave out this estimate for the first time since the arrests. According to the court, seven persons were arrested during the raid by Chinese law enforcement agents. The cryptocurrencies seized are detailed as 194,775 BTC; 833,083 ETH; 1.4 million LTC; and 27.6 million EOS. Also, a total of 74,167 DASH; 487 million XRP; 6 billion DOGE; 79,581 BCH; and 213,724 USDT was also confiscated. The entire cryptocurrency stash is estimated to be worth about $4.2 billion in today’s market.

Related articles

Polkadot Trade Worth $37.33M Liquidated in Latest Crypto Market Dip

March 5, 2021

Kentucky Pushes Mining Tax-Breaks in Bid to Attract Crypto Community

March 5, 2021

Although the court has disclosed that these assets “will be processed pursuant to laws,” it is yet to disclose in detail how much of the assets will be processed. Also, important details like what methods will be used to process the funds and how much of the funds have already been processed have not been elaborated on.

Court Upholds District Court Ruling

The case against PlusToken was initially held by a lower-level district court in Yancheng in China’s Jiangsu province on September 22, 2020. At that time, local news media reported that over 2 million people were scammed by the Ponzi scheme. Local media also disclosed that over 50 billion yuan (approximately $6.7 billion) was stolen from unsuspecting PlusToken investors.

Interestingly, details of the lower-level court proceedings were not made public. This was majorly due to the fact that the convicts had appealed to a higher-level court. This appeal was, however, trumped as the higher-level court maintained the decision of the lower-level district court.

About PlusToken

Officially launched in 2018, PlusToken was advertised as a crypto arbitrage trading platform. This couldn’t be any further from the truth as the platform was, in actual fact, a well-disguised Ponzi scheme. The platform promised irresistible daily payouts but with the condition of an initial deposit of at least $500 worth of digital assets. Many unsuspecting individuals, estimated to be about 2.6 million in total, invested in the scheme. This took place between April 6, 2018, and June 27, 2019, which is approximately 14 months.

Also, approximately 314,000 BTC; 117,450 BCH; 96,023 DASH; 1.84 million LTC; 11 billion DOGE; 928 XRP; 9 million ETH; and 51 million EOS was taken in by the Ponzi scheme during the 14 months of operation. These assets at that time were worth about $2.2 billion. Notably, they are worth approximately $11 billion today.

Since the raid, at least 15 people have been convicted in relation to the PlusToken pyramid scheme. Most have received sentences between two and 11 years and fines ranging from $100,000 to $1 million.

Apart from the confiscated cryptos, about $22 million dollars was cleared out by one of the convicts. The police were able to trace about $19 million of the stolen funds.

Security in the Crypto Space

The Chinese government, as well as several other regulatory organizations, have ramped up efforts to prevent cryptocurrency scams. Since its inception, the crypto space has attracted the attention of unscrupulous individuals. Many unsuspecting people have lost funds and assets to these individuals. Most scammers rely on the low level of crypto education prevalent in the crypto space.

Facebook, YouTube, and Twitter have at one time faced legal issues linked to crypto-based scams. With this as a major issue in the crypto space, many crypto organizations have launched crypto workshops. These workshops are aimed at teaching interested persons the rudiments of investing in the crypto space.

interestingly, privacy-centered crypto exchange Kraken early this year disclosed details on how to recognize a crypto scammer.

Are you just starting out on your crypto journey? Find out more about the cryptocurrency space on the Altcoin Buzz YouTube channel.

The post Chinese Police Confiscate Crypto Worth $4.2B From PlusToken Ponzi Scheme appeared first on Altcoin Buzz.

Share76Tweet47

Related Posts

Polkadot Trade Worth $37.33M Liquidated in Latest Crypto Market Dip

by
March 5, 2021
0

Summary: 141,486 traders have been liquidated in the last 24 hours The largest liquidation was a Polkadot trade on Binance...

Kentucky Pushes Mining Tax-Breaks in Bid to Attract Crypto Community

by
March 5, 2021
0

The Kentucky House Budget Committee approved a bill in a 19-2 vote to eliminate the sales tax on electricity for...

Cardano ADA ‘Mary’ Protocol Upgrade Successfully Launches

by
March 5, 2021
0

Decentralized blockchain and cryptocurrency project Cardano has announced the successful mainnet launch of its “Mary” protocol upgrade. This upgrade is...

Plasma.Finance Introduces the Flash Rebalancer

by
March 5, 2021
0

On the 3rd of March, Plasma.Finance introduced the Flash Rebalancer, its latest feature to be released alongside the PlasmaSwap DEX....

Crypto Tax Compliance Startup Taxbit Raises $100 Million, Targets International Expansion

by
March 5, 2021
0

U.S. crypto tax compliance startup Taxbit has raised $100 million in a Series A funding round led by investment firms...

Load More
  • Trending
  • Comments
  • Latest
Grayscale CEO outlines 6 themes that will shape crypto market in 2021

Grayscale CEO outlines 6 themes that will shape crypto market in 2021

January 20, 2021
GrayScale Reopens ETHE Buying

GrayScale Reopens ETHE Buying

February 1, 2021
Grayscale Investments Buys more ETH as Ethereum Price Shoots to New All-Time High of over $1550

Grayscale Investments Buys more ETH as Ethereum Price Shoots to New All-Time High of over $1550

February 3, 2021
Grayscale’s Crypto Assets Under Management Soar Past $30 Billion — ‘Institutions Are Here’

Grayscale’s Crypto Assets Under Management Soar Past $30 Billion — ‘Institutions Are Here’

February 6, 2021

Polkadot Trade Worth $37.33M Liquidated in Latest Crypto Market Dip

0

China Is Reportedly Moving To Clamp Down On Bitcoin Miners

0

Inside the Chinese Bitcoin Mine That’s Grossing $1.5M a Month

0

All You Need to Know About This Whole SegWit vs. SegWit2x Thing

0

Polkadot Trade Worth $37.33M Liquidated in Latest Crypto Market Dip

March 5, 2021

Kentucky Pushes Mining Tax-Breaks in Bid to Attract Crypto Community

March 5, 2021

Cardano ADA ‘Mary’ Protocol Upgrade Successfully Launches

March 5, 2021

Plasma.Finance Introduces the Flash Rebalancer

March 5, 2021
Crypto News

We bring you the best Premium WordPress Themes that perfect for news, magazine, personal blog, etc. Check our landing page for details.

Categories tes

  • Aave (AAVE)
  • Abra
  • altcoin
  • Altcoin News
  • altcoins
  • Altseason
  • Basic Attention Token (BAT)
  • Binance
  • Binance (BNB) News
  • Binance Coin (BNB)
  • Binance Ecosystem
  • Binance Smart Chain
  • Binance Smart Chain (BSC)
  • bitcoin
  • Bitcoin
  • Bitcoin (BTC) Adoption
  • Bitcoin (BTC) General News
  • Bitcoin (BTC) News
  • Bitcoin (BTC) Predictions
  • Bitcoin Cash (BCH)
  • Bitcoin Cash (BCH) General News
  • Bitcoin dominance
  • Bitcoin Futures
  • Bitcoin Miners
  • bitcoin network
  • Bitcoin Options
  • Bitcoin price
  • Bitcoin SV (BSV)
  • Bitfinex
  • BitGo
  • Bitstamp
  • Bittrex
  • Blockchain
  • Blockchain News
  • bloomberg
  • Brad Garlinghouse
  • Business
  • Cameron Winklevoss
  • Cardano (ADA)
  • ChainLink
  • ChainLink (LINK)
  • Chainlink (LINK) News
  • Chainlink Community
  • Chainlink Price Prediction
  • Changpeng Zhao
  • charlie lee
  • CME Ethereum Futures
  • CME Group
  • coinbase
  • Coinmarketcap
  • Consensys
  • Craig Wright
  • Crypto Exchanges
  • cryptocurrency
  • Dash (DASH)
  • DeFi
  • DeFi Pulse
  • Deribit
  • Dogecoin (DOGE)
  • Electric Coin Company
  • Elon Musk
  • ETH 2.0
  • ETH2.0
  • Ethereum
  • Ethereum (ETH)
  • Ethereum (ETH) News
  • Ethereum 2.0
  • Ethereum Classic (ETC)
  • Ethereum Fees
  • Ethereum Futures
  • Ethereum Miners
  • Ethereum Network
  • ethereum price
  • Ethereum price analysis
  • Ethereum Staking
  • Ethereum Upgrade
  • Ethereum Upgrades
  • Flare Networks
  • Flare Networks Snapshot
  • Gemini
  • google
  • Grayscale
  • Grayscale Bitcoin Trust (GBTC)
  • Grayscale Ethereum Trust (ETHE)
  • Grayscale Investments
  • Guide
  • Guides
  • Huobi
  • Institutional Investors
  • jack dorsey
  • Jay Z
  • justin sun
  • JustSwap
  • LINK Marines
  • Litecoin
  • Litecoin (LTC)
  • Litecoin (LTC) News
  • Litecoin Development
  • litecoin foundation
  • Litecoin MimbleWimble
  • Market
  • Michael Saylor
  • MicroStrategy
  • MimbleWimble
  • Mining
  • Monero (XMR)
  • News
  • NFT
  • NFTs
  • Non-Fungible Tokens
  • OKECoin
  • Other
  • Pantera Capital
  • Polkadot (DOT)
  • Polkadot Price Analysis
  • Poloniex
  • Prices
  • Regulation
  • ripple
  • Ripple
  • Scams and Hacks
  • sec
  • Securities and Exchange Commission
  • Spark Token (FLR)
  • Spark Token Airdrop
  • Spark Tokens (FLR)
  • Square
  • SushiSwap (SUSHI)
  • Tesla
  • Tether (USDT)
  • tether bitfinex lawsuit
  • Tron (TRX)
  • TRON (TRX) News
  • Tron Foundation
  • Twitter
  • Tyler Winklevoss
  • Uniswap
  • UniSwap (UNI)
  • Wallets and Exchanges
  • WallStreetBets
  • Weiss Ratings
  • Wrapped Bitcoin (WBTC)
  • XRP
  • XRP News
  • XRP Price Prediction
  • Yearn Finance (YFI)
  • Zcash (ZEC)
  • ZCash Halving
  • Zeus Capital
  • Zilliqa (ZIL)
  • Zilliqa (ZIL) News
  • Zilliqa Staking

Tags

Altcoin Bitcoin drops Bitcoin Wallet Cointelegraph Cryptocurrency ICO Investment Lending Market Stories Mining Bitcoin

Newsletter

[mc4wp_form]

  • About
  • FAQ
  • Support Forum
  • Landing Page
  • Buy JNews
  • Contact Us

© 2017 JNews - Crafted with love by Jegtheme.

No Result
View All Result
  • Contact Us
  • Homepages
  • Business
  • Guide

© 2018 JNews by Jegtheme.