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Monday, 30 May 2016

OneCoin's prepaid-MasterCard-page disappeared from the Internet. The London event coming... or maybe not

The webpage for OneCoin's members to manage their prepaid MasterCards has disappeared from the Internet:
https://onecoin.mycardplace.com/


The members have not been able to apply for the prepaid cards since 16th March. Also the card loading functionality has been suspended apparently from the same date. This all happened after the drug dealer whose company was in charge for OneCoin's prepaid cards got arrested for smuggling drugs to the U.K. It has been well over two months after the incident and OneCoin has gone all quiet about the prepaid cards. Seems like it isn't easy to find a new henchman to handle the prepaid card business.

However recently OneCoin pulled a new card out of its sleeve and now they are offering a prepaid card from UnionPay. Applying for the card costs 100 euros and it is accepted for payments in about 100 countries (according to OneCoin). I highly doubt the eagerness of OneCoin's members to obtain the card after what happened to prepaid MasterCards - not forgetting that the Chinese authorities are more than likely going to shut down OneCoin's operations in China. The main players of this ponzi were already arrested and I would not be surprised if there was more arrests to come in China.


The prepaid card from UnionPay












The London event


Now we are waiting if or not the London event is going to happen in 11 June. So far the date is not even booked in the SSE Arena's event calendar. However OneCoin has been selling tickets to the event before even having a venue for it - as it seems they still don't have one.

The fact that there has not been any proper ticket booking system in use indicates that OneCoin really has been without a reservation for a venue. I would assume that the negative publicity attached to OneCoin has made all cautious to offer a place for this ponzi scheme. Maybe OneCoin even had a reservation but the place turned it down after learning the truth about OneCoin?

It might be that OneCoin was so desperate to find a venue that they had to hire an outsider to try to book a place for the event. That's probably why they recently presented a web page (CoinRushLondon.com) made by a company called Dotslave. The web page they published is quite pointless - there is no additional information that anyone hasn't already got from OneCoin. You can't even book tickets there although there is a tab "Booking" which just shows the ticket prices. Despite the useless web page, Dotslave might have been a good "slave" to use for booking a venue.



This ad was in OneCoin's Facebook page. Also there is a false information indicating that you could book tickets via CoinRushLondon.com. Well you can't.

If OneCoin manages to pull this event off they must have Dotslave to thank for.



Monday, 23 May 2016

A Zinzino rep disownes Zinzino

Susanna Tanni a celebrity of the Finnish yellow press released a Facebook post informing that she had disowned Zinzino after representing the company only two months. According to Tanni she had been a successful rep of Zinzino albeit the short period being involved. However she had learned by the hard way the true nature of Zinzino.


Susanna Tanni

I'll try to translate her comments as precise as possible (my own remarks explaining the translation are marked with red):

"I don't appreciate the way the representatives of Zinzino are dealing with a friend of mine. I don't like that the bottles of oil have become more important than people, friends and humanity.

I don't like Zinzino anymore and I don't trust it as a company. I dont't believe their claims. I emphasize that this is my own personal view and not a the whole truth / confirmed truth about facts (Sorry, I'm not quite sure what she's trying to explain there about the truth).  Anyway the company should review its policy when its customers and even the people not involved feel this way. I mean we can't all be crazy, envious, losers - can we? (Zinzino's Finnish reps are known to label anyone opposing like aforesaid.)

What comes to my own business as a Zinzino representative I succeeded better than well. As a person I failed. I have been apologizing and offering to pay 54 euros to all my customers for interrupting their payments. I think the amount required is too much for most customers to get rid of the agreement with Zinzino. I can't tolerate such a customer membership agreement (maybe extortion would describe that better). I don't feel that it's necessary to reveal anything more that might hurt or damage some people. Anyway I got my lesson about life, people and working. In fact I learned much more than I could ever imagine, and learned about myself as well.

By all means, anyone consume what ever oil you desire - or don't. It's up to you and anyone's own decision to make. There are several products to choose from and it might not be so important what the tag on the bottle says.

My biggest concern is that people would come first, only after that comes the right omega balance, businesses and companies. Peace!"

The above post was made 19th May 2016.

Here's the Finnish version:
"En pidä siitä tavasta, jolla zinoväki osoittelee ystävääni. En pidä siitä, että öljypulloista on tullut ihmisiä, ystäviä ja perusihmisyyttä tärkeämpiä. 

En pidä, enkä luota enää Zinzinoon yhtiönä, enkä usko heidän väittämiinsä. Korostan, että tämä on minun henkilökohtainen näkemykseni , eikä siis todistettava totuus. Silti yhtiön pitäisi selkeästi tarkistaa toimintatapaansa, jos osa asiakaskuntaa ja muut, jotka ei ole toiminnassa inessä tuntevat näin? Emme kai me kaikki voida olla hulluja, kateellisia taikka epäonnistujia, vai olemmeko?

Mä kahden kuukauden öljyurani aikana ainakin onnistuin liiketoiminnassa paremmin kuin hyvin.
Ihmisenä mä epäonnistuin. Olen pyytänyt anteeksi ja tarjoutunut maksamaan 54 euron keskeytysmaksun minun tekemieni asiakkaiden puolesta. Se on liian iso raha suurimmalle osalle maksaa siitä lystistä, että ei öljyä enää halua. En voi elää sellaisen asian kanssa. Minulla ei ole mitään halua paljastaa taikka kertoa näistä asioista enenpää taikka ketään loukata taikka vahingoittaa. Mä opin elämästä, ihmisistä ja työnteosta ennemmän kuin olisin osannut odottaa. Itsestäni myös. Juokoon kuka tahansa öljynsä miten haluavat tai olkoon juomatta. Jokaisella löytyy kyllä se sopivin. Tai ehkä sitä yhtä ja ainoaa oikeaa ei olekaan. 


Mä vain pyydän, että ihmiset tulisivat ensin, sen jälkeen omegat ja liiketoiminnat ja yhtiöt. Peace!"


Ironically soon after that Facebook post there was a Zinzino representative accusing Tanni about being stupid and not representing Zinzino properly.

Wednesday, 18 May 2016

"Exclusive interview with Dr. Ruja Ignatova, PART II"

OneCoin just released a new video titled "Exclusive interview with Dr. Ruja Ignatova" (part two). Let's have a look at it:




Why does OneCoin limit coin sales?


5:45 -> She makes an attempt to explain how come OneCoin's inner exchange does not work. As you might know the success rate of selling coins there is close to 0 %.

The explanation Ruja offers is:

Ruja: The amount of sell and buy offers vary from time to time.
- Isn't it normal for an exchange?

Ruja: OneCoin deliberately limits the amount of coins that can be sold/bought because otherwise the price of the coin would be distorted.
- The price is already distorted because onecoin does not have any actual value and the price of the coin is dictated by Ruja. In fact OneCoin does not limit the selling, there just is no one interested in buying the coins. I have not seen a single person complaining about failing to purchase coins. They are all complaining about expired sale offers.

Ruja: The exchange exists only as an learning experience: "people can learn to trade"
- Well, they sure are learning by the hard way about ponzi schemes. Also most of the sale offers fail/expire so where is the trading happening?

Ruja: The company does not buy back the coins.
- Well, I'm not surprised. Why would they buy worthless coins?

Ruja: The time difference is causing sale offers to expire. "When you're awake China sleeps."
- This is total bullshit. As far as I know the sale offers are pending several days. There are people complaining that they have not managed to sell their coins in months. How does that go along with the sleeping cycle of the Asians?



8:30->  How is the OneCoin value created?


Ruja: The value of the coin is calculated by adding the electricity cost and the computer power used. 
- Ignatova really emphasizes that this is truly the core of the OneCoin's value. Only after that comes the value from the demand according to Ignatova.
- First of all mining a centralized crypto currency with a massive computer power and huge electricity cost would be utterly idiotic. As the currency is centralized there is no need to generate the data base with an army of computers. All it would take is a single ordinary computer.
- Secondly, the idea of the electricity costs and the computer power used giving value to a currency is totally absurd! They are costs for the manufacturer. Nothing more. For example Bitcoin's value does not add up from the cost of electricity and computer power. Bitcoin's value is determined by the demand in the open market. The electricity costs only make mining that much less desirable.

"Crypto currency is not backed up by anything. It's actually worthless. OneCoin is not backed up."
- According to Ignatova OneCoin is however still valued because of its brand. She claims that there are about 2 million OneCoin members valuing OneCoin just because of the electricity costs, the computer power costs and the brand. However the vast majority of the world's population simply disagrees with this. How would anyone value a coin that is not valued even by its creator. - OneCoin does not approve its coins as a payment for anything. You can't use your onecoins even for internal purchases in the system, such as education packages, CoinCloud or event tickets. 

I would imagine that the first step to promote your beloved coin would be accepting it  as a payment method yourself. OneCoin's way is so absurd that they are now accepting even Bitcoins for payments. I would not be surprised if they were soon accepting money transfers also via Western Union to sell their education packages when their bank accounts continue freezing.



"We are probably the only company that focuses so much on usability of the crypto currency."
- Well, how come you have this thing called CoinSafe? A virtual safe that prevents using coins for a year or two. What's the point in that? How come there are still no merchants accepting onecoins as a payment method? That was already supposed to happen as promised by OneCoin's leaders.


"Education is our product and some of our members choose to mine the coin."


16:20 -> "Only about 10 % of our members mine the coin currently. Most of the people participate in the program for the education."
- Well she does use the word "currently" but then again she points out that the most of the members are only in it for the education. This is a bit confusing... The Finnish country manager Tommi Vuorinen has made it very clear on several occasions that the education packages are only there for avoiding problems with financial supervisory authorities.

"I have never done a network marketing company before."
- That's a blatant lie. She had a thorough rehearsal with BigCoin before turning her act to OneCoin scam.


I'll finish this update with citing OneCoin's Finnish Country manager:
"Invest only such an amount that you can lose with a smile in your face."

He's the one on the right of the picture showing the value of onecoin with his fingers.

Monday, 16 May 2016

Zinzino - a scam or a scheme?


Zinzino itself appears to be somewhat legitimate firm offering overpriced products via MLM. However the business relies heavily on the pyramid scheme structure built by Zinzino's partners.

The business has been running in Finland since about 2010 - probably a year or two before that but after 2010 it started sort of booming. They went nuts recruiting people with false promises of easy and massive incomes. The top of the Finnish pyramid made its best to give the impression that anyone could achieve those passive incomes with Zinzino.

However after years have passed it has become clear that Zinzino is not a way to a glamorous life. It turns out that the independent partners are struggling to make any money at all with this scheme.



Let's have a look at some statistics:

Zinzino's 2014 annual report reveals that in 2014 there was 1.701 new partners recruited. In the previous year (2013) 1.661 new partners were recruited. That sums up to 3.362 partners in just two years. Great isn't it? Despite the fat numbers of new partners there was only about 1.000 active partners left in 2015. - This headcount includes also the partners who were already members before 2013! The numbers tell us that nearly all of the new recruits quit Zinzino very soon after getting involved.


Sources:
Zinzino's annual reports.
The information about 1.000 active partners in 2015 can be found in this Zinzino's Q&A page (it's in Finnish):
https://zinzinofaktaa.com/2015/12/17/zinzino-kysymyksia-ja-vastauksia-2/



Zinzino under preliminary investigation by the Finnish police

Zinzino has been under preliminary investigation by the Finnish police since the end of 2013. So far they have not concluded the investigation and it's unclear whether there will be any criminal charges prosecuted or not.

I don't remember seeing any other country having their police forces investigating Zinzino. However I'd presume that Zinzino has used similar kind of measures as in Finland to lure people into it.



The early days, the present and the future

When Zinzino started it was all about coffee and espresso machines. They were to conquer the markets with their overpriced coffee and coffee machines. However there was only a limited market for those overpriced products and the Finnish population has only a limited number of suckers to be fooled.

After two or three years passed with the coffee and espresso machines they had to add a totally new product line to prevent the pyramid from collapsing. That's when health related oils were introduced.

In addition they offer dried blood spot analysis to their customers so that anyone could see how Zinzino's oil would benefit their health. However consumers taking their own blood samples and sending them via post doesn't sound a way to handle delicate medical samples. It's also controversial whether this kind of dry blood testing would give any reliable results of fatty acids.



Don't slaughter a cow that can be milked


In the early days of Zinzino there was a lot of videos of pyramid's top people partying and giving their false promises. Nowadays it's much calmer. It's like they have gone under ground. Some of the most visible characters in the crazy years are maybe too embarrassed to make any Zinzino appearances anymore. Well, it's no wonder after they could not even fulfil the promises they had made to themselves.

Of course the ones Zinzino still benefits, "the top leaders", continue promoting it. You know there are still about 1000 active partners to exploit. Don't slaughter a cow that can be milked, like we say here in Finland.

After years of bad media the recruiting business doesn't feed the pyramid like it used to. The main theme of their marketing is now the "education" they give to the Zinzino partners. Organising events is a side business for the top leaders bringing some food to their table. The events also strengthen the faith of the true believers giving them a sort of religious experience.

Also the recruiting business has changed. They are not promising easy and fat stacks of cash to anyone anymore. Now it's more like "a nice extra 100 euros to a single mother per month". "And if you really put your mind into it and work hard you can have up to 4000 euros per month".


The future

I think that Zinzino will just fade away here in Finland unless they come up with another ground breaking new product. Although Zinzino Finland might be closing to its end but elsewhere Zinzino is reaching to new territories. They are aiming to the U.S.A., Canada and also Germany.

The Finnish police investigation has dragged so long that I don't see anything coming up from it. The most likely scenario is that "the top leaders" will be involved in another scheme sooner or later. It so happens that dairy cows are usually slaughtered after their fifth year.



Sunday, 15 May 2016

Bulgarian Capital Weekly's new article about OneCoin

Update 19 May: The journalist behind the article released an English translation of the article. You can check it out in BehindMLM.
------------------------------------------------------------------------------------------------------------------
A thread about OneCoin in a Finnish discussion board Murobbs has been following the ponzi scheme since February 16th 2015. I'm sorry to say that it's of course in Finnish and Google Translate does quite terrible job with Finnish language. Nevertheless a Bulgarian journalist Nickolay Stoyanov from the Capital Weekly has been following the discussion with the help of Google Translate. Today he greeted the followers of the thread with this message:

"Hey guys,

My name is Nickolay Stoyanov, a journalist from Bulgaria. Me and my paper Capital Weekly have been covering OneCoin and I've been following your discussion through Google Translte which has been useful.

I am writing just to drop you a link is our ltest article (in Bulgarian, but I guess you can get the gist of it through Google Translate): http://www.capital.bg/biznes/kompanii/2016/05/13/2759325_doktor_ruja_i_pazaruvaneto_na_imoti_ot_nishto/

Basically we've uncovered in the local registers That Mrs. Ignatova through several UAE-based companies such as RISG Limited and Ravenr Limited has bought real estate in the country for close to 20 mln. euro. We hve documents to prove that she used to be sole owner of these companies in 2015 and now they are transfered to proxies...

One of the latest deals is connected to a shady figure called Hristoforos Amanatidis (aka) Taki, who used to be charged with drug orgnising deling in Bulgaria. They fled to Dubai and was not to be recovered, for some yers and later the Bulgarian Authorities have dropped charges and is pushed chrging some of his alleged collaborators.

Hope this is useful for you in Finland."


Here's the article in English with Google Translate.


Briefly about the article:


The article let's us know that Ruja and OneCoin keep their distance with the Bulgarian press which is quite bizarre considering how important media coverage seems to be for OneCoin. Maybe the reason is that OneCoin simply can not get any positive media visibility with out paying for it (like the Financial IT and Forbes cover cases have shown us).

Furthermore the article reveals that Ruja has made property investments with about 20 million euros in Bulgaria. Because of Ruja's shady connections to several companies it isn't clear how OneCoin's ponzi money is shared by the top ponzi scammers running the show. However it's obvious that all the property acquisition has been done with the ponzi money.

There's also a nice addition in the bottom part of the article (with a grayish background color) containing information about the latest dirty details of OneCoin.

Wednesday, 11 May 2016

Blog statistics, OneCoin scam's features and the latest newsletter

Here are the statistics of my blog visitors so far:



Finland
474
U.S.A.
368
Sweden
153
Germany
84
U.K.
71
Estonia
30
Poland
21
Ukrain
21
Norway
20
Thailand
20



The total amount of page views so far is about 1500. I began to write this blog in the late February 2016, at first in Finnish but then I changed the language to English during March because there's quite a lot of information 
available in Finnish about OneCoin scam already.

Finland's pole position goes along with its position in Google Trends. There has really been visits from all around the world. The countries listed above are the most common ones but there has also been some visits (varying from 1-10) from New Zealand, Australia, Macedonia, Hungary, Portugal, Denmark, South-America (Venezuela, Colombia and Brazil if I recall correctly), India, Canada, Singapore, Zimbabwe and China. Those are the ones I still have statistics for or can remember but I'm sure I forgot to list 3-5 countries or so.

For those who fear that I make money with this blog: Fear no more! The 1500 page views seem to cause massive earnings of 0,01-0,09 euros per month. Well, even that exceeds what I was expecting. I do also have a professional interest in having ads in my blog as I work in advertising. I was curious to see how this advertising thing works. Of course I would not mind the claimed 1.8 million onecoiners to drop a visit to fatten up my wallet. Then again I have already earned much more money with this blog than most onecoiners will ever get from the ponzi scheme. Feeling envious? Don't feel yet because there's a 70 euros limit to reach for withdrawals. With this phase I'd be very lucky to make my first withdrawal in 60 years.

That been said it's absurd that some ponzi scammers instruct their victims not to read blogs because "bloggers make money with each visit". They conveniently forget to mention that they'll receive their blood money from every victim they manage to lure into ponzi.



OneCoin's exchange shows the blockchain in action?

I spotted someone believing that the video in OneCoin's exchange is showing the actual "blockchain". Nope, it's just a video you can purchase from an image stock called Shutterstock:
http://tinyurl.com/zanlrdj
- Ponzi scammer's defence would most likely be: "It's only a decoration to make the exchange sexier." Then again why to use a video which has even nothing to do with the block chain? By judging the age groups OneCoin seems to attract I bet there are many more thinking the video is the actual blockchain.


S Systems Ltd auditing the coins

OneCoin's audit company finally has a web page:
http://www.s-sys.eu/

It took almost a year for that "audit company" to have their web page online. Congrats S System, looking awful! But could you really expect more quality from an audit company located in this address.

The first audit reports OneCoin published came very fast online. Now they seem to have forgotten the whole audit business because we are still waiting for the one from December 2015 (update 11th May: I just checked that the audit report for December had finally emerged. Now we are waiting for the January 2016 report.) The audit reports contain nothing to strengthen anyone's beliefs in genuine auditing so I guess we are not missing much. The reports are nothing more than pdf files signed by someone named Atanas Lazarov. He's basically just reporting that "everything is alright". I guess he gets his rent paid for that splendid audit work he does.



OneCoin's newsletter 9th May


A New Prepaid Card:

Just after Chinese authorities seemed to be onto OneCoin the ponzi scam announced: "very soon we will start the issuing of ONE NET UPI CARDS in association with UnionPay". It would be a debit card "accepted in China, and will operate in US Dollars". The fee for the card would be 100 euros. The newsletter does not say when the card would be available.

They still have no comforting words for their members with the useless prepaid MasterCards.

OneCoin is now offering also "Coin Transfer option" between members:

"OneCoin is proud to announce it has officially implemented the Coin Transfer option between Members! Now you will be able to send and receive OneCoins to and from all Members in your Downline, as well as all your Sponsors in your Upline."

Well, the members can't even sell their coins because no one is buying so why would they transfer those worthless coins?

FOR CHINESE Members:

"For your convenience OneCoin team offers translation services for your KYC documents. If you need us to translate your KYC files the fee of 25 Euro will be withdrawn from your cash account. The increase in the fee is to support the verification process and will optimize the procedure, allowing us to provide you with timely and efficient service."

I can translate the above text free of charge from OneCoin bullshit to English:

FUCK YOU CHINESE Members:
You are by far the most biggest group among our members. However we don't give a flying fuck about that. On the contrary we value you now even less because the Chinagate incident prevents us from exploiting you with the same magnitude as before. Now pay us more money, 25 euros! The increase in the fee is to show that we are almost doubling the effort of pretending to do the KYC procedure.

OneCoin - banking the unbanked with banking.

Friday, 6 May 2016

If you tell a big enough lie and tell it frequently enough, it will be believed.















Onecoin's top leaders have been very careful not to get caught from obvious lies - if you don't count lying about OneCoin being a cryptocurrency. Their strategy seems to consist deliberately launching lies using their henchmen to spread them: for example the famous "shops opening for onecoin usage as soon as 30 % of coins have been mined". For some unknown reason the lie has been somewhat different depending where it has been spread: In Finland it has been said by our Finnish country manager Tommi Vuorinen that about 50.000 shops are eagerly lined up accepting onecoins. Abroad the figures have been much more ambitious, varying from 100.000 even up to 500.000.

Now her holiness, our founder, CEO, Dr. Ruja Ignatova have been caught from a mayor lie. She has been presenting herself as a virgin to MLM (schemes). She claimed that while setting up OneCoin was the first time she decided to get involved with multi-level marketing (schemes) aiming to quickly expand the network of onecoiners. However the videos in my yesterday's update show indisputably that Ruja Ignatova was involved in the BigCoin scam in 2014 prior to OneCoin.

They must have thought that there would be no traces linking Ruja to the previous scam. I bet they just ran a couple of Google searches and after feeling safe enough crowned Ruja as the "CryptoQueen". I guess she was the only one among the pyramid's top scammers who had relatively clean name to use and some sort of credibility to be presented as a founder of new ground breaking cryptocurrency. 

However, what happens in the Internet usually stays in the Internet as we saw with our very own eyes yesterday. To begin with the similarities between BigCoin and OneCoin are very awkward for them to explain. In this video below BigCoin is presented as "the pioneer to centralized cryptocurrency":



It looks like BigCoin was not a great success though one can also find some Google search results of it dated in 2015 in addition to the ones in 2014 (when Ruja was still involved in BigCoin). According to Google Trends BigCoin ran mainly in Vietnam. I guess that ponzi eventually slowly died. (It may have changed its name later on to "My Big Coin" which apparently is still online.)

The henchmen

OneCoin's top scammers have relied heavily on their henchmen to step up to explain all the unfilled promises and any unexpected "technical problems". OneCoin uses rumors a lot to build up false expectations. When the expectations fail to meet the reality the ponzi victims sometimes even come up with an explanation themselves.

These are only some of the bullshit that have been spread:
- Banks have been changed because the banks used have not been capable of handling the volumes of cash OneCoin brings in.
- Prepaid MasterCards are not working because there's some technical issues to be solved.
- Shops are lined up to accepting onecoins but it takes time to build the system.
- Ruja is a member in Mensa and has an IQ above 200.

The Finnish county manager Tommi Vuorinen has been caught lying several times already. It looks like he even goes into too much specifics while spreading the lies:
- Tommi Vuorinen had promised that the first shops accepting onecoins were to be opened by the 2 March 2016.
- Last year he declared via "press release" that OneCoin had bought Hermes Bank from a South-American island. After it was obvious that this was not true he simply deleted the lie from the press release.

Today Ed Ludbrook announced in his Facebook:
"OneCoin already has many more users than Bitcoin"
- Onecoins can not be used.
"we already have a unique relationships with Mastercard and UnionPay"
- Well, that's one way to put it. MasterCard and UnionPay seem to be very reluctant to have any relationship with OneCoin whatsoever. China UnionPay just recently ceased offering their services to OneCoin. What comes to MasterCard there has only been a prepaid card available. That deal went off after the prepaid card dealing drug dealer got caught. Somewhere in the turn of the year MasterCard has even insisted to have their logos removed from OneCoin's webpage.

More OneCoin stuff found mixed with some other scam

Sabway seems to be a scam that never really got of the ground. The site looks alarmingly similar to OneCoin's and you can still find some OneCoin stuff in the server:

Thursday, 5 May 2016

Ruja Ignatova was part of BigCoin scam before OneCoin


Here's a video proof that Ruja Ignatova was participating BigCoin scam before OneCoin:


This certainly conflicts with Ruja's statement that OneCoin was the first time she was messing with MLM pyramid structure. Apparently BigCoin was not a great success because it's hard to find much information about it in the internet. Looks like Ruja would be more than happy to forget this venturing into cryptocurrency business prior to scamming with OneCoin.

Another video where Ruja can be seen handed some award from ponzi business:





It had been buzzed about in the Internet that Ruja (as well as Sebastian Greenwood) were linked to BigCoin. However as far as I know there was only a little evidence supporting that Ruja had a role in it. Looks like OneCoin was not the first "centralized cryptocurrency" after all. They just stole the idea from BigCoin and covered it with some new wrappers and of course changed the name. Then they just presented Ruja Ignatova as a mastermind behind the new ground breaking cryptocurrency and a new ponzi was ready to take off. 


"The Rise of BigCoin" - That sure sounds familiar.








Update 23 May:

Somebody dug up a document revealing a direct connection linking OneCoin Ltd to BigCoin as well as to Greenwood’s failed Loopium platform. You can read more about this in BehindMLM.

Monday, 2 May 2016

Anatomy of a ponzi scheme

"A Ponzi scheme is a fraudulent investment operation where the operator, an individual or organization, pays returns to its investors from new capital paid to the operators by new investors, rather than from profit earned through legitimate sources. Operators of Ponzi schemes usually entice new investors by offering higher returns than other investments, in the form of short-term returns that are either abnormally high or unusually consistent." https://en.wikipedia.org/wiki/Ponzi_scheme 



"But I know there are people making money from this!?"

Of course there are. A ponzi needs to feed the illusion to extend its lifespan.

Let's take a look at a Finnish ponzi scam called Wincapita. Wincapita started as a Bettrust in 2003 offering high profits from betting. By the end of 2004 they started marketing the company/club by saying that the company is a successful currency exchange firm. In September 2007 Wincapita stopped paying revenue to its 5000 members. Around then Wincapita also gained media attention and was suspected to be a ponzi/pyramid scheme. However Wincapita still continued growing until March 2008 when suddenly Wincapita's webpage disappeared from the internet. By the end Wincapita had approximately 10.000 members who had invested about 100.000.000 euros to the ponzi. About 90.000.000 euros from the total amount were paid as "revenue" to the members during the years. However only 5 percent of the members (about 500 individuals) got profits from the ponzi.

Wincapita reminds a lot of OneCoin by the way they both have a charismatic leader, there's no product to sell and they have promised sky high profits. 
There are also alarming similarities in the way the members are acting and defending their beliefs. 

As a domestic ponzi scheme Wincapita case lead to trials here in Finland and the scammers were finally sentenced. Needless to say it was a terrible mess and took years of trials. The ones who profited and spent their winnings into luxury life were in deep shit after sentenced to compensate it all to the state. The victims that lost money were to claim their share from the state but evidently there was not enough to compensate all the losses.

Interestingly there are still Wincapita-believers who think that they have been unfairly treated by the Finnish authorities and the collapse of Wincapita was caused by a some sort of conspiracy of the Finnish police and authorities.


"Don't google! There are only haters. Ask the upline!" 

- Don't read blogs or make google search! Ask the upline in case you need any information! 
- Bloggers make money from bashing our great company. 
- The others are just envious and don't want you to succeed. 
- Don't go to discussion boards! There are only trolls and they know nothing about our great leader and the company. 

Sound familiar? Then you might ask yourself are you in a ponzi scheme or in a loony bin. The phrases listed are the basic arguments scammers like to make these days trying to prevent anyone getting real information about the ponzi/pyramid they are lured in.

As a nice trivia I might add that the Finnish police specifically thanked a Finnish web forum called MuroBBS because of the discussion there about Wincapita helped in the criminal investigation. No doubt there was also a lot of people who did not lose their money because of checking out the thread in Murobbs and making the wise decision not to get involved with Wincapita.



Scammer's resume is a list of collapsed ponzi/pyramid schemes

For some people scamming seems to be a way of life - and maybe the only way they know how to live. It's not uncommon to find familiar faces from the past involved in the present scams. The most successful scams are most likely to have professional scammers behind them with years of experience from previous scams conducted. A simple google search reveals a lot of the people involved in these schemes. Apparently they still manage to make nice living with other people's money year after a year. It's hard to understand why scam victims seem to ignore the fact with whom they are dealing with. I guess it's just a matter of greediness overwhelming their judgement and common sense.

As a scam goes international it becomes vital for its growth to gather scammers with a proper knowhow to expand it abroad and arranging new bank accounts to replace the frozen ones (they tend to freeze when banks notice what's going on). OneCoin is a prime example of an international scam well done. It has spread its tentacles all over the world recruiting branches of different level scammers to feed the monster. As they have been rewarding their members with toy money the lifespan of the ponzi must have exceeded the wildest dreams of the scammers. They don't even bother to explain why their promises go unfilled. Then again how would they?


It's usual for scams to have a lot of similarities to religion whether it is a ponzi or a pyramid scheme. The true believers don't question anything and anyone questioning is against them and only has ill will towards their success. Many of them hold on to their beliefs until the bitter end only to get involved with a new scam and the vicious cycle starts again.

Sunday, 1 May 2016

OneCoin investors arrested in China

BehindMLM released an article 27th April about OneCoin's investors having been arrested in China. As it was suspected earlier the event in Harbin was indeed cancelled because of intervention of Chinese authorities. Furthermore there was some OneCoin investors arrested because of criminal fund raising. The Chinese police have frozen about 27 million euros worth of assets and money.
Source from China with the help of Google Translate (note that it usually translates Onecoin as "Vicat money" / "Vicat currency")

Meanwhile OneCoin is just giving a shrug of shoulders to this Chinagate. They try to keep it calm but this surely hits the ponzi hard. OneCoin claims to have over 800.000 members in China. That's most likely highly exaggerated figure but nevertheless the latest news about OneCoin's recruiters dealt as criminals is a serious blow for the ponzi scheme's future. (Although it's about to end soon anyway when it becomes evident even for the members that the so called cryptocurrency does not exist). The fact is that the latest events will probably end money flow from China. The Chinese authorities are now well aware about OneCoin's true nature and I bet they are observing transactions to certain bank accounts.

Some members of OneCoin are already alarmed about the happenings in China and the way OneCoin and their beloved leader Ruja acts is nothing to soothe them. Here's an example:
https://www.facebook.com/teamcharisma.onecoin/posts/1648442215376407

Here's a short article from CBN Global in English:
http://cbnglobal.yicai.com/news/5006783.html