The 20 billion funds involved in the case collapsed, and Plustoken, the largest fund in the currency circle, is suspected of running away
1. It is difficult to withdraw cash from the digital asset wallet Plustoken platform, and it is suspected of running away
On June 29, the news of the "collapse" of the Plustoken wallet, known as the "No. 1 fund in the currency circle", frequently swiped the screen.
The cause of the incident is as follows: Since June 27, users of the digital currency wallet application Plustoken have continuously reported that it is difficult to withdraw cash on the platform, and the withdrawal process has not been completed for more than 24 hours. In addition, in the Plustoken application, the platform’s token price has stagnated at $139.237 since the evening of the 29th, and there has been no price fluctuation for dozens of hours. This move was questioned, and the staff had stopped maintaining related services, and the team collectively ran away. For these issues, Plustoken has not issued any official announcement to explain.
The incident caused widespread panic. Because the "plate" of Plustoken is too big and involves too many people: According to the information provided by the media, in August 2018, the total number of members of Plustoken exceeded 1 million, and this number has been further improved half a year later. growth of. Plustoken has clearly stated that the number of members will exceed 10 million in 2019. According to data provided by an investor, in April this year, Plustoken’s address had already stored digital currency worth more than 800 million U.S. dollars (equivalent to about 6 billion yuan). 20 billion yuan.
(Internet rumors about Plustoken misappropriating money)
2. The essence of "community-based operation": a "pyramid sale" that pulls people's heads and develops offline
What is the origin of Plustoken? Why did it rapidly expand into "the first fund in the currency circle" in just one year?
First of all, it has a very "bright" label. According to the publicity of the Plustoken project, it is "Asia's first STO exchange", "multi-functional cross-chain decentralized wallet", "smart dog moving bricks", "platform currency", "currency loan", "global digital currency payment function", "blockchain game", "computing power mining"... In addition, Plustoken also claimed that the project is a decentralized digital asset wallet built by giant companies Google and Samsung, and it is also a decentralized digital asset wallet. Centralized trading platform, supports multi-currency storage, and fast transactions...
In addition to the very "bright" hot tags and giant "endorsements", Plustoken also has a more "bright" gold-absorbing model, which is what really makes Plustoken grow "explosively". There are two main sources of income for Plustoken:
1. The first one comes from its unique "smart dog" brick-moving software. "Smart Dog" claims that it can quickly collect and capture the price difference information of more than 20,000 trading markets around the world, and start the brick-and-mortar arbitrage mode at the right time. Users invest in Plus Token smart brick wallet, in addition to capital preservation, they can also get a monthly income of 10% to 30%.
2. The second reward comes from the promotion transaction. The promotion transaction is also called link income (similar to the promotion of WeChat and Alipay), that is, to increase your own income through the online and offline mode, and the more offline you develop , the higher the income. Plustoken's MLM model reaches the so-called "ten-tier reward mechanism".
The Plustoken community is mainly operated in the mode of WeChat groups. These communities are established by high-level "MLM leaders". Each community has many WeChat groups with a size of 500 people. These communities will also be on major websites. And write a promotional article about Plustoken in the media column of the currency circle, and attach the APP download link and invitation code to the promotional article.Usually, the MLM currency operation mode is: through the establishment of WeChat groups, on-site explanations, etc., organize and lead to promote virtual currency, or require participants to pay fees to purchase virtual currency to obtain membership qualifications. After that, levels are formed in a certain order, and rebates are obtained directly or indirectly from the downline, and high returns are used as bait to lure participants to continue to develop others to participate and defraud property. And Plustoken's income model fully conforms to the characteristics of "MLM currency".
3. The repeated prohibition of "pyramid currency": Are the scammers too shrewd, or the investors too naive?
In fact, the police have already notified the issue of "Plustoken suspected of pyramid schemes". In March 2019, the Wenyuan Police Station in Tianxin District, Changsha City, Hunan Province received a report that a gang carried out illegal financial propaganda activities in a residential building in a certain community under the guise of "blockchain and digital currency". The police immediately launched an investigation into the gang and controlled the main person in charge. The police found that the "Plus Token Blockchain Wallet" was suspected of carrying out pyramid schemes under the guise of blockchain and digital currency, and inducing people to invest in illegal channels. The police stated that the "Plustoken Wallet" used the name of "Blockchain" to collect threshold fees, develop offline, and reward layers, which has the typical characteristics of pyramid schemes.
In fact, people with a little common sense can see at a glance that Plustoken is a naked pyramid scheme and a "Ponzi scheme". After all, the pyramid scheme of pulling people's heads and developing offline has been prevalent since the 1990s. So, why are there still people participating in the "MLM" project that has been frequently reported and suspended? I think, this is roughly: we can never wake up people who pretend to be asleep. Criminals use "old routines". This is not because criminals are too smart, but because they are good at poking investors' weaknesses:
Faced with the temptation to get rich, even though they know it is a pyramid scheme, investors still worry about "not being able to get on the bus" and miss the opportunity to get rich. Some investors have a speculative mentality of "make a profit and leave", regardless of whether he is an illegal pyramid scheme, as long as he can make a profit... Don't you know that the world will not lose pie, pyramid scheme projects It will definitely let you invest enough chips before the so-called "getting rich". When you are still dreaming of getting rich, they will run away with money...
4. Digital currency is defined as "property", and rights protection may be expected
According to the provisions of my country's criminal law on the "crime of organizing and leading pyramid schemes": organizing and leading in the name of selling goods and providing services and other business activities, requiring participants to obtain membership qualifications by paying fees or purchasing goods and services, and forming them in a certain order. Level, the number of directly or indirectly developed personnel is used as remuneration. In judicial practice, criminal responsibility will be investigated for crimes such as illegal business operations, fraud, and fund-raising fraud based on different situations.Although digital currency is not a "legal currency" in the true sense, it has been recognized as "property" and is protected by national laws. From this perspective, investors may hope to protect their rights. However, rights protection is also very difficult. We say that MLM rights protection is difficult, mainly because the network of MLM victims is mostly relatives and friends. Many investors will express concerns about rights protection, because their online and offline are either their teachers, classmates, or their own. Friends, even your own parents... However, after all, there are laws to follow, as long as investors actively pursue compensation, it is not impossible to recover losses.
Finally, what I want to say is that when the market is good, all kinds of monsters and monsters will start to haunt you. In the face of high returns and guaranteed capital without losing money, everyone must keep their eyes open. Don't dream of getting rich overnight in the trap made by criminals, otherwise, the dream will become a nightmare!
