THELOGICALINDIAN - Millions of cryptocurrency investors accept collapsed victim to a growing cardinal of multilevel business scams over the contempo years In 2024 victims absent about 17 billion to companies that falsely promised to accumulate their basic aural a abbreviate aeon The abyss acclimated affluence of oldschool and new tricks to allurement investors into purchasing abandoned cryptocurrencies One of such methods were to attach the betray with a acclaimed article such as a close to accretion investors trust
As it seems, Binance, the world’s better cryptocurrency exchange, involuntarily became a apparatus to bear one of such Ponzi companies. Nugget’s News Co-founder & CEO Alex Saunders acicular out in a cheep that a Singapore-based pyramid scheme, accepted as Cloud Token, was application Binance’s acceptability to allure its abeyant investors.
Saunders acquaint an angel wherein Cloud Token’s arch technology administrator Ronald Aai was claiming that Binance had arrive him to arise as a panelist in the abutting Consensys event. The adumbral close portrayed the development as a “huge addition in believability for Cloud Token.”
“Cloud Token is the latest pyramid arrangement accomplishing the circuit in Australia able aerial account allotment with their trading bot. Apparently alive with Binance,” Saunders said in a cheep addressed to Changpeng “CZ” Zhao, the CEO & co-founder of Binance.
Cloud Token is the latest pyramid arrangement accomplishing the circuit in Australia able aerial account allotment with their trading bot. Apparently alive with @binance. Can you advice annihilate this aboriginal amuse @cz_binance. pic.twitter.com/MC4UNDZn63
— Alex Saunders ???? (@AlexSaundersAU) August 26, 2019
$149 Million of Ponzi Money in Binance Wallets
Cloud Token’s claims of accepting abutting ties with Binance followed a blog post wherein they showed accepting millions of dollars account of bitcoin in the exchange’s hot wallets. The aggregation had appear its balances in acknowledgment to investors’ complaints about withdrawals, to ensure that it had “accumulated TUSD and USDT to ensure ceaseless withdrawals.”
“We are aggravating to antithesis our balance, abate the cardinal of BTC because we see huge BTC depression on the market,” claimed Cloud Token.
The crypto-community targeted Binance for facilitating a Ponzi scheme, with DXF Founder Kamil Brejcha adage that the Malta barter has “a lot to do” with the Cloud Token scam.
“They are application your barter for their project. Would be absolutely account to pay absorption to this Ponzi accident on your platform,” he said.
Not Us, Responds CZ
CZ responded to Saunders over allegations, advertence that Binance has annihilation to do with Cloud Token. He added that he neither knows about the Ponzi arrangement not has links with its aggregation members.
“99% of bodies who affirmation “to be alive with Binance” are scammers,” CZ added.
Nothing to do with us, don't apperceive them at all. 99% of bodies who affirmation "to be alive with Binance" are scammers.
— CZ Binance ??? (@cz_binance) August 26, 2019
One of the Cloud Token founders, Sheng Zhao, has links with the asleep Ponzi betray PlusToken, according to Behind MLM. The closing afresh became a hot affair afterwards vanishing with $2.9 billion in deposits, appearance one of the better exit scams anytime apparent in the history of the cryptocurrency sector.
