"This is the result if you cheat people, luckily you won't have to go to prison for 612,00 years like the CEO of FTX."
Karl Sebastian Greenwood, the co-founder of the OneCoin multi-billion dollar cryptocurrency fraud scheme was sentenced to 60 years in prison after pleading guilty to all charges brought by the United States Department of Justice (DOJ).
It was reported that Greenwood had pleaded guilty in Manhattan federal court on December 16 to charges of fraudulent transactions and money laundering activities.
According to US attorney Damian Williams, Greenwood is one of the individuals who has carried out the largest international fraud scheme by convincing investors to buy a number of digital assets despite the fact that they have no value.
Generally, OneCoin is a Bulgarian company founded by Greenwood and "Cryptoqueen" Ruja Ignatova that functions as a marketer of the cryptocurrency of the same name.
Clarified further, customers are allowed to mine (mining) and earn a commission if they can sell the crypto package containing the OneCoin, but it should be noted that OneCoin can only be converted to fiat on the private Xcoinx exchange.
However, what follows is a Ponzi scheme where investors are allowed to recruit other individuals to join the scheme without a real product and get paid through the money of previous investors.
According to the DOJ, the fraud gave Greenwood a total profit of $21.2 million while three million individuals suffered a different fate following a loss of $4 billion after investing in the OneCoin package.
In the meantime, the authorities will make every effort to find the individuals involved with OneCoin and Ignatova so that they are punished appropriately for committing fraud and money laundering.
