Kriptacoin Scam Taken Down
On September 21, 2017 police took down a Ponzi scheme based on a fake digital currency named Kriptacoin. The Kriptacoin operation began in January of 2017. The operators of this scam convinced people to join with false promises of income reached 1% per day.
Also, earnings could come from recruiting other members. If a victim got someone else to invest in the digital currency Kriptacoin, that person would get a 10% bonus from the money that the recruited victim spent. Investors had to sign up and pay for their Kriptacoin through a digital platform, using real money.
To attract victims, these scammers promoted a false lifestyle on social media, giving the impression that they lived in luxury because they had invested in Kriptacoin. “They were promoting electronic music festival, posting photos and claiming artists were betting on the company. At first, people were able to get some of the money out, but over time they were making it difficult,” investigators said.
Investigation into this scam found that over $79 million was taken from investments of about 40 thousand victims. The only money that was used to pay old investors was new investor money. The investigations were carried out by the Coordination of Repression to Crimes against the Consumer, Tax Order and Fraud (Corf) in conjunction with the Consumer Protection Justice Prosecutor (Prodecon), of the Federal Public Ministry.
Two of the main targets of the operation are the brothers Welbert Richard Viana Marinho, 37, and Weverton Viana Marinho, 34. They do not have their names published on the company’s website and do not appear as members in the data of the IRS, but present themselves as presidents of the group. Entrepreneur Fernando Ewerton, 30, the heir of a concessionaire in Brasília, where he serves as director, is also among the prisoners.
Brazil’s Civil Police took down the Ponzi scheme in Goiâna and Distrito Federal, 11 suspects were arrested for commercializing the false currency, and two are still at large. 18 search warrants have been issued. – Source cryptocoinsnews.com
The company used third-party accounts, fake names and forged documents in its operations, as well as buying high-value goods such as luxury cars and even a helicopter that will be auctioned to compensate victims.
Names of those arrested:
Marcos Kazú Viana Oliveira
The brothers Weverton and Welbert Marinho
Sérgio Vieira de Souza
Alessandro Bento (one of the administrators of the company)
Kriptacoin Scam Conclusion
You want to avoid any cryptocurrencies that are offering regular returns and recruiting bonuses. These are almost always a sign you are dealing with a Ponzi scheme instead of a legitimate cryptocurrency.