FCA Warns People About OneCoin In The UK

The OneCoin scam has been taking advantage of people around the world.  Regulators are waking up to the danger of this scam.  On June 11, 2016 OneCoin pulled into London and sold people on their fraudulent cryptocurrency.

Now, The City of London Police are investigating OneCoin. The Financial Conduct Authority FCA has issued the following warning about OneCoin:

We believe consumers should be wary of dealing with OneCoin, which claims to offer the chance to make money through the trading and ‘mining’ of virtual currencies.

OneCoin markets itself as ‘a digital currency, based on cryptography’. It claims to have a finite amount of currency units which means it is unaffected by factors such as inflation, and that it is not bound by a central bank.

Why we are concerned

The City of London Police are currently investigating OneCoin. If you believe that you have been a victim of fraud in this regard, or have had dealings with OneCoin, then please contact Action Fraud (link is external) or telephone them on 0300 123 2040.

This firm is not authorised by us and we do not believe it is undertaking any activities that require our authorisation. However, we are concerned about the potential risks this firm poses to UK consumers.

As OneCoin is not authorised, consumers who deal with it will have no protection from the Financial Ombudsman Service or the Financial Services Compensation Scheme. – Source fca.org.uk

In my opinion, OneCoin is a Ponzi scheme that is linked with a pyramid recruiting scheme disguised as a new digital currency. Any money you spend will not be refunded once you login to your OneCoin account. They use the history of the increasing value of bitcoins to sucker you into their scam. Each individual who profits does so primarily from the payments of others who are themselves making payments in order to obtain their own profit. Avoid the OneCoin scam.