One of the leaders of Plus Token is being prosecuted in China. Plus token is considered one of the biggest scams in history the cryptocurrency industry.
According to local media, Zhou will face to Prosecutors in Jianhu District Court, Yancheng City, Jiangsu Province. As the local government currently only provides Zhou’s last name, we cannot confirm exactly what Zhou’s personal name was.
Zhou publicly published and promoted the Crypto Wallet PlusToken application, known as the Cryptocurrency Financial Management App, through WeChat and other applications on the Internet.
After registering four accounts with different SIM cards in his wallet, he allegedly lured over 1.9 million people into pyramid fraud.
The pyramid-ponzi scheme
According to local authorities, PlusToken disguises itself as a financial management app for cryptocurrencies, but allows criminals to recruit users who promise high returns that can be generated from the number of other investors they can attract.
The local police said they received reports from the public about the fraud only last year, saying:
The platform pretends to provide a cryptocurrency rating service and falsely claims to have the function of mining cryptocurrencies and requires members to pay a certain amount of cryptocurrencies such as Bitcoin, Ethereum, EOS, etc. to achieve high static income . “”
Other criminals involved
As Cointelegraph previously reported, Chinese police officers fell victim to Vanuatu and arrested six people involved in the PlusToken project and extradited them to mainland China last year. It could be the biggest crypto scam in history, with an estimated loss of around $ 2.9 billion.