Ukrainian law enforcement has exposed a crypto pyramid scheme based out of Russia that is suspected of raking in millions in US dollars. The Security Service of Ukraine has discovered a large-scale pyramid scheme disguised as an investment project named “Life is Good.” The perpetrators reportedly offered victims the opportunity to become investors, rapidly growing their capital investments. A pyramid scheme relies on the luring of new investors to pay off earlier investors. Fraudsters often promise high returns with little risk. They are fundamentally unsustainable and often leave victims with substantial losses. According to the authorities, the perpetrators defrauded over a thousand victims, netting nearly $40 million. The money was then transferred to the organizer’s crypto wallets and bank accounts. To use the service, the fraudsters developed their own web resource with the accounts of potential “investors.” The fraudulent deals promised investors profits in the form of dividends from investing in the shares of promising world-class businesses. Additionally, the fraudsters “guaranteed” their clients “bonuses” in order to attract new clients.
Full story : Ukraine Authorities Uncover $40 Million Crypto Pyramid Scheme.
