One Coin: the co-founder pleads guilty, the Crypto Queen is still running

Another One Coin bites the dust – I am guilty. It is now recorded, Karl Greenwood, one of the brains of the One Coin scam has just admitted his misdeeds to the federal services for the fight against fraud. A $4 billion scam. Decryption.


One Coin, the crypto scam of the century?

Ponzi, scams, scams, they have been legion within the crypto sector, and this, since its tumultuous beginnings. Admittedly, the police now have increasingly sophisticated means of control at their disposal. Nevertheless, it is clear that with the FTX case as a recent example, that we are not at the end of our troubles. However, the crypto sector is becoming more and more controlled. Blockchain technologies turn out to be a much less relevant vector than a suitcase full of dollars to launder moneyno offense to the detractors.

But in 2014. We were very far from all that. Then emerges a new cryptocurrency. Supposedly the next Bitcoin or ‘Bitcoin Killer’. The catchphrase is now known and few are those who still claim to be able to replace Bitcoin. Nevertheless, in those old days of the Wild West and technological upheaval, nothing was less certain. Taking advantage of investors’ ignorance, Karl Greenwood and the fugitive Ruja Ignatovaknown as Crypto Queenlaunch One Coin.

One Coin is one of the biggest scams in crypto that used to sell fake formations.
One Coin, one of the biggest scams in crypto

The objective is simple. Selling fake formations, all associated with a cryptocurrency that is only real in name, One Coin. And each converted person could in turn attract new people. They thus received a commission on the “training packs” sold. This ponzi scheme will manage to extract nearly $4 billion to unfortunate investors duped by these criminals. One of them, Greenwood, arrested in Thailand in 2018 and extradited to the US, pleads now guilty.

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Authorities chasing crypto criminals

“Karl Sebastian Greenwood operated one of the largest international fraud schemes ever perpetrated. […] [Nous souhaitons désormais] send a clear message that we will hunt down anyone who seeks to exploit the cryptocurrency ecosystem through fraud. As important or sophisticated as it is. »

Damian Williams, attorney for the Southern District of New York

The Crypto Queen, Ignatova, the real manager behind One Coin, is still at large and rumors are rife about his escape. She remains on the FBI’s most wanted list. They also offer a reward of 100,000 dollars for any information that would lead the authorities to his capture.

Although any crypto address is tracked by the blockchain, allowing authorities to trace entire fraudulent balls of yarn, this does not prevent investors from falling into traps. Phishing, scams and scams of all kinds like One Coin. Thieves often take advantage of the naivety of investors more than the security flaws of the blockchain system itself. This is why it is important to learn about the tools you use and the methods to use to properly protect your cryptos.

To keep your cryptos, nothing beats a Ledger wallet. The Nano S and Nano X provide security and ease of use. Indeed, they are compatible with the vast majority of cryptos and networks. They are an absolutely essential alternative to all exchanges that offer to hold your assets for you. Remember, “Not your keys, not your coins” (commercial link)!

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