Recently we wrote about the co-founder of Apple, Steve Wozniak, losing 7 Bitcoins to a credit card fraud. This was just one example, but the instances of fraud
related to cryptocurrencies are increasing at an alarming rate. From fake social media accounts proclaiming to send free Bitcoin and Ethereum, to scammers sending
fake email messages to ICO investors. Following this trend is a binary options trading platform known as BTC Global, which allegedly stole over 50 million dollars
from its users.
The company had over 27,500 people register complaints against it to South Africa’s Directorate for Priority Crime Investigation. The spokesperson, Captain Lloyd Ramovha, stated: “I have spoken to one of the investigators in our team and he has confirmed that this matter came to them about two weeks ago.
There are in excess of 27‚500 complainants with many outside South Africa. The amount is over $50-million and could rise as more victims come forward.”
But what exactly is BTC Global? It was launched on Semptember 25th, 2017 by Steve Twain, who was a well known trader. His previous success as a trader led
visitors to assume that his platform was reliable and reputable. The set-up was, however, criticized for being a scam even since it’s creation. People questioned
the “unmatched returns” proposed by the company.
First they allowed people to acquire BTC from the platform, shortly followed by an advise to invest in their company, earning 2% to 14% weekly returns.
Victims have come out to state that they had invested anywhere from 1,000 to 100,000 dollars. At first they were recieving their returns normally, but two weeks ago the founder, Steve Twain, disappeared without a trace. Unsurprisingly, people immediately started reporting the incident to the authorities and an investigation was started. Ramovha described the problem: “The investigation is in its infancy. I also cannot say whether it is a Ponzi scheme. BTC Global is being investigated for contravening the Financial Advisory and Intermediary Services Act.”
The remainder of the administrative team at BTC Global posted updates on social media, detailing the situation from their perspective. Allegendly, payment
details were sent to Twain as was the norm, but on Feb. 18, 2017 they did not recieve any response. Ever since then, nobody on the team came into contact
or heard from Steve Twain. They had posted an announcement stating: “The admin team cannot locate him. If anyone has ANY information on how we can get in contact
with him please get in touch and let us know.
We call for the threats, harassment and violence on leaders and admin to stop. It is unfathomable that people can behave like this. If you feel you’ve had a crime committed against you, you need to follow the legal procedures to deal with the matter.
We are as shocked and angry as everyone. But we all knew the risks involved in placing funds with Steven. We all became complacent with Steven. And all of us funded him independently.
Until Steven Twain resurfaces or is found there is nothing the admin team can do.”
The team members now threat for their safety, as one of the members, Cheri Ward, registered unlawful charges against someone threatening her at her home.
Other members are also worried, due to their personal information and home addresses being posted online.
Featured image from Shutterstock.