- A new anonymous wallet receives $67 million in EOS tokens from the widely-known PlusToken scam wallet.
- Could this cause a flip in the bullish markets across the crypto field, especially EOS, in the near term?
In the latter months of 2019, one of the biggest cryptocurrency heists/scams was revealed, whereby approximately $3 billion in investors’ Bitcoin (BTC), Ethereum (ETH) and EOS (EOS) was lost in a Ponzi-like scheme.
Over the past eight months or so, movement of the tokens stolen is on Whale Alert’s radar – an application that tracks significant transactions and scam wallets.
According to a tweet on Whale Alert’s page, a transaction recorded on Tuesday saw over $67 million in EOS tokens (26,316,339 EOS) transferred to an unknown wallet. This leaves the market in limbo over the next few days as a selloff may ensue as the scammers try to sell off these tokens.
🚨 🚨 🚨 🚨 🚨 🚨 26,316,339 #EOS (67,139,663 USD) transferred from PlusToken to unknown wallet
— Whale Alert (@whale_alert) June 22, 2020
The PlusToken Ponzi Ring
PlusToken was founded back in mid-2018 and registered in South Korea as a blockchain firm. Within a year, the firm collected a reported $2.9 billion in BTC, ETH, and EOS tokens from over 3 million customers across the globe.
The deal was to stake your coins in the crypto wallet with a promise to double up your investments in 8 months.
However, on June 27, 2019, users complained about the difficulty of withdrawing their funds, starting the long trace of nearly $3 billion in lost users’ funds.
In July, the government of Pacific island of Vanuatu deported 6 Chinese nationals alleged to be the co-founders of the PlusToken back to China mainland after a tipoff from investigators based in Yangcheng.
At the Expense of Whom?
Since the PlusToken scammers are regularly emptying their wallets and selling off the coins at the expense of the market. In August, BTC dropped from highs of $10,500 back to $9,500 as PlusToken set 5,575 BTC on the move as analysts and tracking organizations such as Chainalysis warned of a more substantial selloff in the coming months.
In December, $105 million worth of Ethereum was moved to an unknown wallet raising questions of a potential selloff. While ETH price only slightly faltered, it cannot be attributed wholly to PlusToken’s wallet movements.
Currently, EOS and the crypto markets remain in the green, with the token trading at $2.56, representing a slight 1.26% growth over the past 24 hours.