MyCoin is currently under investigation for running a Ponzi bitcoin scam, and two of its organizers were recently arrested in Taiwan. According to Taipei’s Criminal Investigation Bureau, individuals Lu Kuan-wei and Chen Yun-fei were apprehended since they have held a few events for MyCoin.
“Chen and Lu held several events for investors convincing each one to spend NT$1.62 million (US$49,600) for 90 BTC and an account with MyCoin’s parent company, which would distribute 0.63 of a bitcoin every day for a total value of NT$11,000 (US$337). The investors were told that their investment would be returned to them after just four and a half months,” indicated the China Times report.
MyCoin Bitcoin Scam
The bitcoin scam allegedly operated by MyCoin has resulted to customers reporting around $8.1 million in losses to Hong Kong police. According to the Hong Kong Commercial Crime Bureau (CCB), 43 investors between the ages of 21 and 71 years old lost anywhere between HK$50,000 to HK$15m each when the exchange ceased operations.
The reported scam also resulted to client losses in other Asian countries, as victims were duped into investing their funds on the