Cryptocurrency trading shot to prominence around 5 to 10 years ago now, as soon as the press coverage increased and people learnt more about it they decided to have a go at it themselves because they’d heard just how much money could be made from it. Here we’ll take a look at some of the biggest cryptocurrency scams to hopefully make sure you won’t be a victim of one in the future.
OneCoin ($25 billion in losses)
OneCoin was founded by Karl Sebastien Greenwood who was claimed to be earning upwards of $21m per month from the company. Whilst it was supposed to be mining coins, allowing people to buy them and then reporting profits, in actual fact it turned out to just be a giant pyramid scheme. The company reported that between 2014 and 2016 it had made around $2.5bn in profit but in actual fact the company was simply artificially inflating its price alongside taking customers money for themselves. The way OneCoin grew was to offer commission to customers who managed to sign someone else up and as always with pyramid schemes, the ones at the top like Greenwood got rich and the ones in the middle and …