March 8, 2021

The Central Bank discovered a financial pyramid working with cryptocurrency

The department said the organization was set up by managers from Cashbury and operated from abroad.

The Central Bank of Russia has revealed a new financial pyramid -Antares Limited, which attracted investments in 16 regions. This was announced by the head of the department for combating unfair practices of the central bank Valery Lyakh, reports TASS.

"Recently, the Chita court blocked a group on the social network VKontakte, which advertised a financial pyramid operating from abroad.This company Antares Limited.Scammers worked both through social networks and offline - deployed several "consultation centers" in 16 regions to attract "investments", - said Lach.

He clarified that Antares Limited organizedmanagers from "Cashbury". The Central Bank of the Russian Federation recognized the group of companies operating under this brand as a pyramid scheme in 2018. The organization built its activities on the principles of network marketing, it promised inflated profitability, funds were attracted in rubles and cryptocurrency.

The press service of the Central Bank explained that Antares Limited did not conduct any activities, but payments to investors, which were promised from2% of daily income was carried out by attracting new funds.Because of this, it is impossible to identify the final recipients of funds, the department stressed.

According to Liah, fraudsters often use cryptocurrencies, they are sharpened "about a quarter of the financial pyramids operating on the Internet."This scheme is designed for people who are willing to invest "in a big and at risk."But such users criminals sell non-existent digital assets or "exotic" coins that are really worthless.

"If you are offered to invest in some assets, having previously transferred money through cryptocurrency, then it is done for one reason - that you do not have a chance to return the money," Lakh warned.

In late November, a Chinese court said the government had confiscated about $4 billion in cryptocurrency from the PlusToken pyramid.The government seized 195,000 bitcoins, more than 800,000 ethers and many other coins.