After the Cloud Token arrests in China, another MLM crypto project continues to emerge
As AZCoin News once mentioned, Chinese law enforcement agencies recently arrested 72 individuals involved in the Cloud Token scam. Moreover, after Cloud Token was detained in China, police in Inner Mongolia warned the public about another MLM cryptocurrency project.
The rise of Ponzi scheme wallets: Cloud Token and Plus Token
Like the Plus Token scam, scammers from the Cloud Token (CTO) project have earned $500 million. However, there is a high possibility that CTO scammers will connect with Plus Token scammers. Moreover, after Cloud Token was arrested in China, police in Inner Mongolia warned the public about another MLM cryptocurrency project.
In 2018, the Ponzi Cloud Token project was born. Similar to the Ponzi Scheme Plus Token, CTO calls itself the first online wallet that can integrate all of the current accessible crypto assets. CTO founders claim to be a Blockchain 4.0 project, and the wallet has held BTC, USDT, BCH, TUSD, CTO, LTC, ETH, and DOGE. Like Plus Token, CTO promises interest rates up to 6% – 12% per month. The project was initially founded by lead developer Ronald Aai and project director Daniel Csokas from Singapore. Nearly every article describing the CTO project shows that the scam is closely connected with the founders of Plus Token. In June 2019, the CTO project was suspected of a problem in Singapore, so the program’s founders decided to relocate.
Ronald Aai, founder Cloud Token
Mauritius Financial Services Commission warns of Cloud Token
After leaving Singapore, CTO project leaders retired to Malaysia and the Republic of Mauritius. In addition to the fraud of securities in the US, CTO also does not register the license to provide securities in Singapore or Malaysia.
In September 2019, the Mauritius Financial Services Commission (FSC) stated to the public, warning people to be careful with CTO:
“The public is being seduced by a group of people on social media, named Cloud Token Mauritius and Cloud Token Indian Ocean and Africa. People are being lured into investing in a cryptocurrency through their app. CTO mobile, they are even organizing events in publicly accessible areas in Mauritius to promote this app. Investors and the public should be careful in dealing with Cloud Mauritius Token and Indian and African Indian Token Cloud.”
Following the FSC’s announcement, in December 2019, Chinese law enforcement agencies reported the arrest of 72 CTO associates. Police from Taiyuan, Shanxi Province, arrested alleged fraudsters at a train station, and investigators revealed the project cheated Chinese investors out of 30 million Yuan ($4 million).
Another MLM cryptocurrency project started working
After raging in the cryptocurrency market, the CTO project has raised more than $ 500 million. Despite being captured, there are still some active Cloud Token sites. Even, the price of each CTO is still sold for $ 0.5 and give the referral code.
Source: Cloud Token
Besides, the Chinese police force is also trying to scrape off another cryptocurrency Ponzi scheme called WoToken (WOR). The WoToken website does not provide the owner or operator information. Besides, this multi-level marketing cryptocurrency project also involves shady referral commissions that are thought to be WOR’s profit distribution.
Cloud Token’s primary developer, Ronald Aai, was interviewed by the CTO Diamond Team at a Warsaw event in Poland.
Perhaps shortly, many cryptocurrency scam models will exit the scam, such as CTO Plus Token, and WoToken. Once the “investors” working on the WoToken project feel they “have enough money,” they will start the exit scam game.
The MLM website’s Wotoken review concedes:
“Every MLM cryptocurrency scheme has followed this trajectory. And Wotoken would be no different.”
- TronWallet And TronWatch Go Separate Ways After Accusing TronWatch Founder Of Stealing 180 Million TWX
- 800 ETH Associated With The HEX Was Withdrawn And Sent To Bitfinex, The Beginning Of An Exit Scam?