Chinese Authorities Unearth $3 Billion PlusToken Ponzi Scheme


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Chinese Authorities Unearth $3 Billion PlusToken Ponzi Scheme

PlusToken’s Ponzi scheme was finally taken down by the Chinese authorities after the Ministry of Public Security arrested over 27 suspects associated with the system. 

Chinese Authorities Arrest 109 Suspects

The crypto industry started off with just one asset and went on to add thousands of others. As the rate of adoption and the value of cryptocurrencies witnessed exponential growth, several veered into the industry. While some indulged in the benefits of these assets, a few others went on to manipulate it.

Hacks and scams are not new to the crypto community. Almost every digital platform has been a victim of hacks. However, authorities never fail to put these hackers in their place. Recently, China’s police force, Ministry of Public Security nabbed over 27 people who were accused of carrying out the PlusToken Ponzi scheme. Chinese media further reported this Ponzi scheme ripped off its users of a whopping $3 billion. Apart from the 27 suspected members, another 82 individuals were also arrested by the Chinese police.

PlusToken was always under the radar for its unusual activities back in 2019. Even though the platform launched in 2018, it came under the spotlight after its users could not withdraw their assets. The Chinese authorities previously arrested six members who were part of the PlsusToken Ponzi scheme in 2019. During that time, the police were still looking for the other suspects, however, the latest news proves that the Chinese police have nabbed the ones responsible for the Ponzi scheme.

Primitive Crypto’s Dovey Wan was one of the first crypto influencers to report the latest news. She shared a tweet about the same and said,

“FINALLY

27 core PlusToken team members are all arrested by Chinese police, the biggest crypto scam in the history so far, $3B worth of crypto is scammed

Bulls now have little to no baggage and let’s send it to the moon”

The latest news is considered beneficial to the crypto ecosystem in general as PlusToken was home to over 2 million users. This was further followed by more than 3,000 hierarchical relationships along with 40 billion yuan worth digital currencies.

Author: Sahana Kiran
Sahana Kiran is a graduate in Political Science, Economics and Journalism. She is a full-time crypto writer at CoinGape and takes a keen interest in cryptocurrencies, especially Ethereum and Bitcoin. Even though she's not a HODLER yet, she has eyes on Bitcoin.
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Sahana Kiran 133 Articles
Sahana Kiran is a graduate in Political Science, Economics and Journalism. She is a full-time crypto writer at CoinGape and takes a keen interest in cryptocurrencies, especially Ethereum and Bitcoin. Even though she's not a HODLER yet, she has eyes on Bitcoin.
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