The biggest cryptocurrency scams in history (Part 3) — PlusToken

What is the PlusToken and how did it work?

Where did the money go?

Timeline for the eventual downfall of the scammers

  • payments stopped on June 30, 2019 — users started reporting delays in fund withdraws. Some took to complain on the Chinese social media site “Weibo” citing that they were unable to receive funds despite writing for 35 hours after submitting withdrawal requests. Ring Leaders tried to convince the community that Plus Token will come back.
  • scammers decided to leave — when the funds finally began moving, one of the transactions carried the note “Sorry, we have run” as a comment to the transaction.
  • arrests and extradition back to China — Law enforcement were able to arrest 6 of the suspects involved with Plus token in Vanatu on the 29th of June 2019. They were detained and extradited back to China to face trial.
  • ring leader prosecuted in Jiansu — Chinese media stated that one of the PlusToken ring leaders named Zhou is being prosecuted by the People’s Procuratorate of Jianhu County in the city of Yancheng, Jiangsu Province. Zhou had registered 4 different accounts on the PlusToken phone app and had recruited over 1.9 million members, involving a total amount of about 14 million yuan (equivalent to USD$1.96 million).
  • is Plus Token still scamming users? — On 29th April 2020, there were screenshots of the PlusToken app circulating on Chinese social media of a supposed notice announcing that version 3.0 beta of the app is now online.
  • last of PlusToken funds moved to exchanges — on 22nd June 2020, Twitter user Whale Alert found over 26 million EOS (worth over USD$67mil) had been transferred from a wallet associated with PlusToken to an unknown wallet, prompting cryptocurrency traders to go on high alert for potential downward price movement for EOS. These funds were then further split into multiple unknown addresses of varying amounts.

What are exchanges doing to deter scammers?

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