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Onecoin Co-Founder Pleads Guilty to Fraud Charges in US – Bitcoin News

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Onecoin Co-Founder Pleads Guilty To Fraud Charges In Us

Karl Sebastian Greenwood, a co-founder and operator of Onecoin, has pled responsible to his half in constructing the infamous crypto pyramid. The faux cryptocurrency’s “global master distributor” has been in custody since 2018 when he was arrested in Thailand and extradited to the US.

Cryptoqueen’s Accomplice at Onecoin Admits Function in Multimillion-Greenback Fraud

Co-founder of Onecoin Karl Sebastian Greenwood pled responsible in Manhattan federal court docket to wire fraud and cash laundering expenses on Friday. Because of misrepresentations made by him, the Ponzi scheme’s mastermind, ‘Cryptoqueen’ Ruja Ignatova, and others, victims from all over the world, together with the U.S., invested billions of {dollars} into the fraudulent platform.

Onecoin Co-Founder Pleads Guilty To Fraud Charges In UsOnecoin’s co-founders Ruja Ignatova and Karl Sebastian Greenwood.

In an announcement, the U.S. Legal professional for the Southern District of New York Damian Williams identified that Greenwood, Ignatova and their co-conspirators ran Onecoin and claimed {that a} purported cryptocurrency with the identical title could be the ‘Bitcoin killer.’ In actuality, it was nugatory, was by no means mined or based mostly on blockchain, and its worth was not decided by the market however set manually.

Greenwood, a citizen of Sweden and the UK, and Bulgarian-born German nationwide Ignatova based Onecoin in 2014. It operated as a world multi-level-marketing (MLM) community, the members of which have been paid commissions for recruiting others. In keeping with Onecoin’s promotional supplies and data, over 3 million folks invested greater than $4 billion by the tip of 2016.

Greenwood’s Sentencing Scheduled for April Subsequent 12 months

Ignatova, who disappeared from the general public eye in late 2017, remains to be at massive and is needed by Interpol, Europol, and the U.S. Federal Bureau of Investigation (FBI), which provides a $100,000 reward for info resulting in her arrest. Her brother, Konstantin, was detained in Los Angeles in 2019, pleaded responsible and sought witness safety.

In August, media reviews revealed {that a} British nationwide accused of cash laundering associated to the Onecoin rip-off, Christopher Hamilton, had misplaced his bid to keep away from extradition to the US and could be handed over to U.S. authorities. In October, three Onecoin associates appeared in a German court docket to face expenses of fraud and different crimes.

Greenwood, who was Onecoin’s “global master distributor,” was credited by Ignatova for the concept of promoting and promoting the crypto via an MLM construction. District Choose Edgardo Ramos accepted his responsible plea and the sentencing is scheduled for April 5, 2023. The 45-year-old co-founder of Onecoin faces as much as 20 years in jail on every of the counts in opposition to him.

Tags on this story

Charges, co-founder, co-founders, Crypto, Cryptocurrencies, Cryptocurrency, Cryptoqueen, Fraud, Greenwood, Ignatova, Karl Sebastian Greenwood, Konstantin, Konstantin Ignatov, Cash Laundering, Onecoin, Ponzi Scheme, Pyramid, Pyramid Scheme, Ruja, Ruja Ignatova, U.S., United States

Do you count on different members of Onecoin to face expenses for his or her participation within the pyramid scheme? Share your ideas on the topic within the feedback part under.

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Lubomir Tassev

Lubomir Tassev is a journalist from tech-savvy Japanese Europe who likes Hitchens’s quote: “Being a writer is what I am, rather than what I do.” In addition to crypto, blockchain and fintech, worldwide politics and economics are two different sources of inspiration.

Picture Credit: Shutterstock, Pixabay, Wiki Commons

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