27 the organizers of the core team of Ponzi scheme arrested.
Chinese authorities arrested more than 109 people linked to an infamous fraud PlusToken.
Launched in 2018, the Ponzi scheme PlusToken cheated more than 2 million people in 40 billion yuan (about $3 billion in BTC and ETC). Although the scope of the financial pyramid was global, a significant part of the defrauded investors were Chinese nationals.
Claiming that it supports the South Korean team consisting of former employees of Google and Samsung,the fraudulent scheme has seriously affected the reputation of cryptocurrency in China and gave the authorities sufficient reason to limit the growing sector.
In August 2019, six people related PlusToken, was arrested and extradited to China from Vanuatu, the alleged operations centre Scam. Chinese authorities said that those arrested were not the leaders, and the main culprits still remain at large.
After almost 12 months as a result of actions taken by the Ministry of public security, all 27 of the core team PlusToken was arrested and 82 previously arrested defendant in the case was named “key” participants in the process.
This is the first time that Chinese police have turned a major international Ponzi scheme, which used bitcoin. Many experts believe that the financial pyramid PlusToken responsible for the rally of bitcoin in 2019. The crooks did not stop their activities after a short break in February this year was seen moving $117 million in bitcoins from addresses PlusToken.
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