The creators of the cryptocurrency wallet PlusToken are suspected of stealing their clients’ cryptoactive assets worth about $ 3 billion.
Wallet users report in social networks that, starting from June 27, they cannot withdraw their money. The platform token exchange rate on June 29 stood at $ 139. The amount of losses at the moment is estimated at 20 billion yuan ($ 3 billion). Moreover, this figure was voiced by the victims of fraudsters, so the actual damage may be several times more. According to the portal 8btc, this is the largest collapse of the cryptocurrency financial pyramid in China.
The wallet was launched last year and worked for more than 14 months. It was presented as a decentralized international cryptocurrency project, supported by a team from South Korea. The project was especially popular in Asian and European countries, including Russia.
The PlusToken website states that the founder of the wallet is a certain Mr. Leo, but no detailed information is provided on his identity. 8btc reports that, despite the creators’ statements about the team from South Korea, the accompanying data signal the project’s connection with the Chinese company Jiaxing Zhejiang.
Moreover, PlusToken has all the signs of a financial pyramid. Investors were promised payments from 6% to 19% monthly of the invested amount and other bonuses for attracting participants. Representatives of the company claimed that by the end of the year they plan to attract 10 million users, although at the time of the application, registered users were only 3 million.
In March, the Chinese police investigated PlusToken and stopped fraudulent activities. The likely head of the Chinese division of the pyramid, Chen Bo, under the pseudonym of Chen Zihan, has been sought since. On June 29, he was probably arrested with five other citizens of China. It is assumed that they are also involved in creating a fraudulent scheme on the Internet. The authorities do not provide any more detailed information, but 8btc assumes that the six detainees are the main figures in the PlusToken case.
In June, the TokenStore wallet closed, whose owners appropriated deposits of more than 2,100 users.