Russ Albert Medlin — co-founder of alleged crypto Ponzi scheme BitClub — was arrested in South Jakarta under accusation of sexual assault on minors. Local news outlet Jakarta Globe reported on June 16 that local law enforcement arrested Medlin on Monday. Jakarta Police chief Yusri Yunus explained that law enforcement received “tip-offs from the public that underage women were often seen” at his residence. When surveilling the place where he was residing, the police saw three teenagers leave his house: “The officers intercepted and questioned three underage women, around 15 to 17 years old. They admitted the owner of the …

Coming every Sunday, Hodler’s Digest will help you track every single important news story that happened this week. The best (and worst) quotes, adoption and regulation highlights, leading coins, predictions and much more — a week on Cointelegraph in one link. Top Stories This Week Bitcoin price drop to key $9,000 support could place the uptrend in peril Will the drama surrounding BTC’s price ever end? Probably not any time soon. This week, Bitcoin fell $800 in a matter of hours to reach lows not seen since May 28. That came after yet another unsuccessful attempt to gain firm support …

The Seoul Metropolitan Police Agency launched a criminal investigation on June 12, leading to the search and seizure of two unnamed cryptocurrency exchanges. These efforts were enacted with the hope of dismantling an Ethereum (ETH) crime ring worth $41.5M. According to Joongang Ilbo, the alleged crime network promoted its business model as a multi-level marketing scheme, or MLM. More than 1,500 people are believed to have sent their crypto assets to the scammers. “Huge returns” promised with ETH investments Reports indicate that the company’s CEO, identified by the name “Mr. Shin,” was investigated and received a court order prohibiting him …

Per a new report released by digital-asset intelligence firm CipherTrace on June 2, the value of ill-gotten funds siphoned through cryptocurrency crimes over the first five months of the year stands at a whopping $1.4 billion, thus making 2020 a potentially active year in regard to cryptocurrency-related thefts, hacks and fraud. The report goes on to state that if things continue at the same rate, the total volume of stolen crypto for 2020 has the potential to get close to reaching the $4.5-billion mark set in 2019. Criminals appear to be capitalizing on the ongoing COVID-19 pandemic to target unsuspecting …

One of the ringleaders of Plus Token is now facing criminal charges in China. Plus Token is one of the largest apparent scams in the cryptocurrency industry’s history. According to local media, Zhou will face public prosecutors in the Court of Jianhu County, Yancheng City, Jiangsu Province. As the local government only supplied Zhou’s family name, at press time we can’t confirm exactly which Zhou this refers to. Zhou reportedly publicized and promoted the PlusToken wallet App, a so-called crypto currency financial management application, through Wechat and other avenues over the internet. By registering four different accounts with SIM cards …

The scam, Wotoken, took in roughly $1 billion worth of crypto at current prices from over 715,000 victims. One of the scam’s core operators is purportedly linked to PlusToken — a multi-billion Ponzi that is believed to have impacted the price trajectory of Bitcoin (BTC) on numerous occasions throughout 2019. China’s second ten-figure Ponzi busted Earlier today, Chinese media outlet, Qianba, reported that a case surrounding “super large MLM network” Wotoken had opened for trial on May 14 in Yancheng City. The scam claimed to generate returns for users through employing algorithmic trading bots, offering referral commissions to affiliates. However, …

One of the persons behind an alleged cryptocurrency Ponzi scheme has once again been denied bail. The accused, John Caruso, continues to be considered an extreme flight risk despite pleading not guilty earlier in 2020. As filed by Judge John Tuchi on May 14, Caruso requested another emergency motion asking to be released from prison, after a similar request was denied in April by Judge Michelle Burns. Caruso’s legal team attempted a COVID-19 defense, arguing that the spread of the virus puts the defendant at risk of infection while he stays in prison. Both of the judges reviewing the motion …

Judge Valerie Caproni lifted the stay on a class-action lawsuit brought against the notorious crypto Ponzi scheme OneCoin 12 months ago. An order signed by the New York District judge mandates that all parties must submit a proposed schedule for the defendants to respond to the complaint before May 9. The court order reads: No later than May 8, 2020, the parties must jointly submit a proposed schedule for Defendants to answer, move to dismiss, or otherwise respond to the Amended Complaint. According to documents filed April 27, defendants David Pike and Mark Scott objected to the stay being lifted, …

The sentencing of Mark Scott, a licensed attorney who laundered $400 million for the infamous OneCoin Ponzi scheme, has been adjourned until July 14, 2020. On April 25, Judge Edgardo Ramos of the New York Southern District Court reportedly granted Scott’s request for the hearing’s rescheduling due to his “need to get further medical testing.” Scott was delivered a guilty verdict during November 2019, however, appealed the decision in February. Scott’s sentencing sees numerous delays During mid-February, the U.S. Government requested a three-week adjournment of the deadline for its response to Scott’s request for acquittal earlier that month. Scott claimed …

Le Quoc-Hung, a key figure in the notorious OneCoin Ponzi scheme, has launched a new crypto Ponzi scheme — OneLink Since joining the scam in 2014, Quoc-Hung, also known as Simon Le, allegedly recruited thousands of investors into OneCoin from his home country of Vietnam — before becoming a significant player and recruitment ‘captain’. Accordinging to media outlet, BehindMLM, Le positioned himself and the captain of OneCoin’s OneLife network after the scheme’s co-founder, Konstantin Ignatov, was arrested and the subsequent hiding of Ignatov’s sister, Ruja Ignatova. Le then used OneLife as a platform to prompt his new scam, in addition …

Antimatter Kingdom (AK), a new Chinese crypto Ponzi scheme, appears to have netted $11 million worth of Bitcoin (BTC) in less than one month of operating. Upon launching at the start of April, AntiMatter Kingdom described itself as “a super mining application group” operating on the CXC chain. The press release boasts that AK reduces its supply by 18% every 90 days, urging investors to capitalize on the “huge opportunity.” CXC claims to comprise a “revolutionary blockchain business structure” allowing it to “compete with the cruel cosmic entropy law and make the development of commercial civilization lasting and orderly.” Investors …

Legal proceedings surrounding the infamous OneCoin Ponzi scheme have seen a couple of updates, with the lead plaintiff for a $4 billion class-action urging the judge not to scrap the case after he missed two consecutive reporting deadlines. Federal prosecutors also unsealed an indictment from 2018 against OneCoin co-founder, Karl Greenwood. Plaintiffs request continuation of $4 billion class-action Levi & Korsinsky LLP, the law firm representing lead plaintiff Donald Berdeaux and plaintiff Christine Grablis, has responded to an order from U.S. District Judge Valerie Caproni to show cause for the case’s continuation. The court’s Order to Show Cause was issued …