The Investor’s Watchdog

The Investor's Watchdog

Investors Lose $4 Billion as Onecoin Fake Cryptocurrency Scheme Crumbles and Co-founder Goes Missing

Friday, January 3, 2020

Onecoin, a purported cryptocurrency company is now offline following a $4 billion Ponzi scheme and the arrest of one of its cofounders, Konstantin Ignatov, in March 2019. The domain registry was owned by EURid, who also put associated Onecoin sites such as One Pay, Deal Shaker, One Academy, and the One World Foundation on a “server hold” status.

The alleged Onecoin multi-level marketing scheme was created by Ignatov, his sister Ruja Ingnatova and friend Sebastian Greenwood. Ignatov, his sister, and Greenwood would tell investors that there was a Onecoin blockchain with real cryptocurrency, though this never materialized. According to a report, Ignatova claimed that Onecoin was a “Bitcoin killer” and that it would eventually surpass the cryptocurrency in value.

Ignatova’s whereabouts remain unknown after she purchased mansions and a yacht prior to October 2018. In March 2019, her brother was arrested in Los Angeles International Airport and pleaded guilty to money laundering and fraud in October. Federal documents show that Ignatov could be eligible for witness protection should he cooperate with international law enforcement.

Did you invest in the Onecoin scheme at the advice of an attorney, a broker, insurance agent, CPA, or financial advisor and lose money? If so, recovery may be possible. Since 1998, our team of attorneys has been fighting for victims of investment fraud and broker misconduct. Call ChapmanAlbin LLC at 1-877-410-8172 for a free, no obligation consultation.

Author: Jason T. Albin

Jason Albin is an Attorney and Partner at ChapmanAlbin, the investor rights law firm. He has represented hundreds of investors who have lost money due to broker misconduct, unsuitable investment advice and fraud.​ Jason also represents individuals in “whistleblower” suits filed against unscrupulous companies that try to defraud the US federal and state governments.

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