- OneCoin is a Ponzi scheme.
- OneCoin is known to be one of the biggest scams in history.
- New Zealand government is not interested in this OneCoin scam issue.
The famous Ponzi Scheme
OneCoin is a Ponzi scheme.“a form of fraud that lures investors and pays profits to the early investors from the funds gathered from the most recent investors” promoted and labeled as a cryptocurrency by OneCoin.Ltd which is registered in Dubai.
OneCoin is known as a Ponzi scheme because of its organizational structure and it was described by the media company “The Times” as one of the biggest scams in history.
US prosecutor accused that the scheme brought approx. $4 billion dollars worldwide. In China, law enforcer was successful enough to recover 1.7 billion yuan while prosecuting 98 people in the country.
The founder Ruja Ignatova disappeared in 2017 when the US secretly filed an arrest warrant against him and got replaced by his brother, Konstantin Ignatov. Most of the leaders of the OneCoin.Ltd either disappeared or got arrested.
Ruja Ignatova got arrested in march 2019 with the co-founder Sebastian Greenwood in 2018 and in November 2019 Ignatov pleaded guilty of fraud and money laundering. He got life-sentenced of 90 years in prison.
New Zealand and OneCoin.ltd
Recently, New Zealanders who claim to have been scammed by OneCoin are disappointed by the government saying it has not decided to investigate it.
All over the world, it has been investigated but it seems New Zealand government is not interested in this issue and when asked a commerce commission spoke person about the issue they said the officials had looked into the Belgium-based OneCoin and after contacting from police they just decided to drop it here and not planning to proceed investigation anytime soon.
The officials have affirmed that the commission will be undertaking some PA (Public awareness) work and prevent people to invest in this type of scheme.
The DIA said that they uncovered most of the information about OneCoin but it is not their direct focus. This indicates they care very little for the loss that happened because of the negligence of the people who invested money in this type of Schemes.