Did OneCoin take it too far? Jen McAdam received sexual violence and death threats after calling-out the OneCoin cryptocurrency as a scam on a BBC Podcast.
Scottish woman received death threats after calling-out the OneCoin cryptocurrency as a scam on a BBC Podcast. Jen McAdam has been leading a group of investors that believe that OneCoin has fooled them.
<blockquote class="twitter-tweet"><p lang="en" dir="ltr">McAdam took part in the podcast and received life threats from who she claimed were OneCoin supports.<br><br>"It is horrible, the abuse is vile, and the threats feel very real to me, I'm always looking over my shoulder now,” said McAdam.<a href="https://t.co/xIhszjCdzs">https://t.co/xIhszjCdzs</a><a href="https://t.co/aAaGyRgPVO">pic.twitter.com/aAaGyRgPVO</a></p>— ReadBTC (@readbtc) <a href="https://twitter.com/readbtc/status/1185281737699532800?ref_src=twsrc%5Etfw">October 18, 2019</a></blockquote><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
At this time, it is believed that OneCoin has raised as much as $5.1 billion USD in international investment. However, U.S. prosecutors say that OneCoin is a pyramid scheme masquerading as a cryptocurrency and is nothing at all like its competitor, Bitcoin.
McAdam took part in the podcast Cryptoqueen, which is investigating the disappearance of Dr. Ignatova and OneCoin and as a result, she received threats from who she claimed were OneCoin supports. In the claimed co-ordinated attacks, she received threats of sexual violence and death.
"It is horrible, the abuse is vile, and the threats feel very real to me, I'm always looking over my shoulder now,” said McAdam.
McAdam has reported the threats she’s received to Police Scotland. She has also urged UK policing and financial regulation authorities to take the issue more seriously.
McAdam invested about $10,000 USD into OneCoin and convinced her friends and family to invest almost $300,000 USD. Not too long after, McAdam realised she was not going to get this money back.
"I know through the different victims' groups around the world that it is people just like me who are affected," McAdam said.
"They invested their life savings, they remortgaged homes and they convinced their friends and family to get involved -and they feel as awful as I do about it all because we were all duped.
"We think there's around 70,000 victims in the UK but it feels as if they are being left behind, nobody here seems interested in this." McAdamn added.
Despite the British response or lack-there-0f, the U.S. reaction to OneCoin has been one of skepticism. Earlier this year, in March, U.S. prosecutors charged Dr. Ignatova in absentia with money laundering.
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OneCoin is a Bulgarian based company founded in 2014 by Ruja Ignatova and her brother Konstantin Ignatov. "Join the Financial Revolution. The First Transparent, Global Cryptocurrency for Everyone" claims OneCoin as it displays its slogan proudly on the homepage of its website.
Its operations follows the format of a basic Multi Level Marketing scheme. (MLM)
Members of OneCoin receive commissions to recruit new members and new members are then required to buy OneCoin crypto packages. With over 3 million active members world wide, this crypto scam defrauded billions from victims all over the world.
In a government press release, Manhattan attorney Geoffrey Berman stated that the OneCoin is a multi billion-dollar company “based completely on lies and deceit." The company promises low risks and high returns for all its investors. It guarantees pure transparency on the Blockchain.
New York County District Attorney Cyrus R. Vance, Jr. said, “As alleged in the indictment, these defendants executed an old-school pyramid scheme on a new-school platform, compromising the integrity of New York’s financial system and defrauding investors out of billions. Our Office urges all crypto investors to scrutinize investment opportunities, recognize the prevalence of fraud in this underregulated space, and proceed with caution.
FBI Assistant Director-in-Charge William Sweeney Jr. said, “As we allege, OneCoin was a cryptocurrency existing only in the minds of its creators and their co-conspirators. Unlike authentic cryptocurrencies, which maintain records of their investors’ transaction history, OneCoin had no real value. It offered investors no method of tracing their money, and it could not be used to purchase anything.
OneCoin however, claims that the allegations made about it around the world are being challenged, stating, "Our partners, our customers and our lawyers are fighting successfully against this action around the globe and we are sure that the vision of a new system on the basis of a 'financial revolution' will be established".
However, it does not seem that OneCoin can explain one thing: Just Where is Dr. Ignatova?
Originally, Ruja and her brother Konstantin Ignatova promised to be launching a cryptocurrency to surpass the likes of Bitcoin, but it turned out to be fake as there was no blockchain and no cryptocurrency.
Regardless of everything surrounding the OneCoin name and company, the Bulgaria-based firm is still trading and stands by its claim that it fulfills all criteria of the definition of a cryptocurrency.