Since the ICO boom of 2017, hackers have entered the nascent crypto space. Moreover, fraudsters have targeted unsuspecting investors and crypto exchanges leading to losses in the millions. However, some of these unscrupulous individuals leave a trail that is evident for anyone who decides to look keenly.
Latest reposts allege that more than $240 million in proceeds from the crypto scheme PlusToken have moved. The movement featured four Bitcoin transactions. A Twitter account that focuses on large crypto transactions, Whale Alert, posted the data on Aug. 17. In those posts, Whale Alert said that these four transactions totaling 22,923 BTC could be the proceeds from PlusToken.
The recent large BTC transactions are likely from PlusToken, but we have not been able to confirm it yet.
— Whale Alert (@whale_alert) August 17, 2019
The four transactions moved 4,923 BTC, 5,000 BTC, 6,000 BTC, and 7,000 BTC. All these transactions took place on August 17. But, the monitor admits that it is still unconfirmed whether the transactions have any links to the purported PlusToken scheme.
Biggest Reported Exit Scam
Earlier reports in an analysis of the biggest crypto heists revealed that PlusToken could be the biggest crypto exit scam up to today. It featured an estimated loss of almost $2.9 billion. PlusToken is accused to have fraudulently purported that it could deliver an attractive return on investment. The scheme promised interest rates of between 8% and 16% monthly, after depositing $500 in cryptocurrency.
Blockchain and cryptocurrency forensics company CipherTrace says that the platform features many Chinese nationals. The Chinese police and the company’s co-founders are also involved. The co-founders include a Russian known just as ‘Leo’ and a South Korean man operating as “Kim Jung Un.”
A while ago, a US District Court issued an emergency freeze to preserve up to $8 million in assets associated with multiple entities suspected of fraudulent and illegal ICO activities. Reginald Middleton, a New York resident, and two entities operating under his management were accused by the US SEC of acquiring almost $14.8 million in a fraudulent ICO.
As for the four BTC transactions, only time will tell whether they are linked to the PlusToken scheme or not.