Ubaid7
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There have been numerous crypto scams over the years, ranging from Ponzi schemes to exchange hacks. Here are some of the most infamous cases:
1. OneCoin (2014-2019) – The $4 Billion Ponzi Scheme
Founded by Ruja Ignatova, aka the “Cryptoqueen.”
Marketed as the "Bitcoin killer," but had no blockchain or real technology.
Ignatova disappeared in 2017 and remains missing.
Her co-founder Konstantin Ignatov was arrested in 2019.
2. Bitconnect (2016-2018) – The Meme Scam
Promised high returns via a lending platform using a bot to trade crypto.
The Ponzi scheme collapsed in early 2018, wiping out billions.
Became infamous due to the “Bitconnect!!!” meme from an event speech.
U.S. officials later arrested key figures behind the project.
3. FTX Collapse (2022) – The Fraud of the Century
Founded by Sam Bankman-Fried (SBF) and once valued at $32 billion.
Customers deposited funds, but FTX secretly used them for risky trading.
When exposed, FTX went bankrupt in days, losing billions.
SBF was convicted of fraud in 2023.
4. Squid Game Token (2021) – The Rug Pull
Launched after the Netflix show “Squid Game” became a hit.
Investors couldn’t sell their tokens due to rigged smart contracts.
Developers ran off with over $3.3 million, and the token value crashed to $0.
5. Mt. Gox Hack (2014) – The First Big Exchange Collapse
Largest Bitcoin exchange at the time, handling 70% of BTC transactions.
Lost 850,000 BTC (worth billions today) due to a security breach.
Founder Mark Karpelès was arrested but later released.
Lessons from These Scams:
Too-good-to-be-true returns = likely a scam.
No transparency or real product = red flag.
Centralized control over funds = high risk.
Celebrity promotions don’t guarantee legitimacy.
#OnChainInsights
1. OneCoin (2014-2019) – The $4 Billion Ponzi Scheme
Founded by Ruja Ignatova, aka the “Cryptoqueen.”
Marketed as the "Bitcoin killer," but had no blockchain or real technology.
Ignatova disappeared in 2017 and remains missing.
Her co-founder Konstantin Ignatov was arrested in 2019.
2. Bitconnect (2016-2018) – The Meme Scam
Promised high returns via a lending platform using a bot to trade crypto.
The Ponzi scheme collapsed in early 2018, wiping out billions.
Became infamous due to the “Bitconnect!!!” meme from an event speech.
U.S. officials later arrested key figures behind the project.
3. FTX Collapse (2022) – The Fraud of the Century
Founded by Sam Bankman-Fried (SBF) and once valued at $32 billion.
Customers deposited funds, but FTX secretly used them for risky trading.
When exposed, FTX went bankrupt in days, losing billions.
SBF was convicted of fraud in 2023.
4. Squid Game Token (2021) – The Rug Pull
Launched after the Netflix show “Squid Game” became a hit.
Investors couldn’t sell their tokens due to rigged smart contracts.
Developers ran off with over $3.3 million, and the token value crashed to $0.
5. Mt. Gox Hack (2014) – The First Big Exchange Collapse
Largest Bitcoin exchange at the time, handling 70% of BTC transactions.
Lost 850,000 BTC (worth billions today) due to a security breach.
Founder Mark Karpelès was arrested but later released.
Lessons from These Scams:
Too-good-to-be-true returns = likely a scam.
No transparency or real product = red flag.
Centralized control over funds = high risk.
Celebrity promotions don’t guarantee legitimacy.
#OnChainInsights
Disclaimer: Includes third-party opinions. No financial advice. May include sponsored content. See T&Cs.
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