BTCC CEO Li Qiyuan warns Bitcoin investors about MMM Ponzi scheme

Some organizations, such as MMM Global, have begun accepting Bitcoin payments, but MMM Global appears to be a copy of the pyramid scheme of the same name that originated in the Soviet Union.

Now, BTCC CEO Bobby Lee and the BTCC team have issued a warning to customers and potential Bitcoin investors, stating that BTCC has no affiliation with such scams and that investors should always consider verifying any entity promoting any Bitcoin-related investments to ensure their legitimacy.

In the past few months, customers of prominent bitcoin exchanges and investment firms such as BTCC and San Francisco-based bitcoin investment firm Pantera Capital have seen an increasing number of investment scams and Ponzi schemes.

Last month, an anonymous hacker claiming to be Pantera Capital CEO Dan Morehead used the email address dan@pa****************st.com to bombard Pantera newsletter subscribers with a high-profit investment plan.

Although none of these customers participated in the scam, the email's professionalism and sophistication in its perfect imitation of Pantera convinced many Pantera Capital investors that it was real.

The email proposed small investment opportunities, ranging from 0.5BTC to 15BTC, and guaranteed a profit return of around 2BTC within 30 days of investment.

The email reads in part:

“We are accepting donations to the first Pantera Lightning Fund. This fund is designed for short-term investments with a guaranteed fixed return. We will give you 15% of your monthly donation in return, with a maximum deposit of 50 BTC per person.

Please deposit 15BTC to this account address: 19QiV************************6xeB or scan the QR code to participate. ”

MMM Global Bitcoin Republic

Sergey Mavrodi, the founder of the largest Ponzi scheme in history, which stole funds worth about $10 billion, has now launched another investment plan using Bitcoin as a means of payment, using the same trademark.

Originated from his previous billion-dollar Ponzi scheme MMM, MMM Global guarantees users 100% monthly profits by having them buy "Mavros", which Mavrodi calls an altcoin, and invest in a "global mutual fund".

"MMM is a community where people provide financial assistance to each other on the basis of free, mutual benefit and charity. We use Bitcoin as the infrastructure for transactions in this community. In MMM, you don't need to sign a contract or mortgage your property. In MMM, there are no lenders or borrowers. Everything is simple: one participant asks for help - the other gives it," its website states.

The fund is very popular among many South American Bitcoin users and investors from Southeast Asia. This time, many new "Bitcoin investors" may become victims of Mavrodi again, which will never be good for the public image of Bitcoin (such as MtGox), and this damage to the image is also what Li Qiyuan and Bitcoin users hope to avoid this time.

Original text: http://bt.cc/3pza
By Joseph Young
Translation: BTCC