A wallet linked to considered associated to the renowned crypto Ponzi scheme ‘PlusToken’ has transferred 26,316,339 EOS tokens [worth over $67 Mln as at the reporting time] to an unknown crypto wallet created just 24 hours ago. The transaction was spotted by tracking service Whale Alert earlier today.
PlusToken is believed to be one among the major crypto related scams in the history of cryptocurrencies, as it reportedly held almost $3 Bln worth of assets along with Bitcoin [BTC], Ethereum [ETH] & EOS when it went busted earlier in June last year.
Launched earlier in May 2018, PlusToken acted as a smart cryptocurrency wallet service & investment program promising high monthly returns. It had been primarily marketed in China and South Korea .
Later in July 2019, 6 Chinese nationals were arrested in Vanuatu and extradited to China as a part of the investigation regarding PlusToken. At the reporting time, PlusToken claimed that the arrested individuals were regular users and not the company’s co-founders.
Next month, PlusToken reportedly began to transfer its funds to exchanges in a clear plan to hide-out.
The scam wasn’t widely discussed within the Western crypto community until August 2019, when blockchain analytics firm Ciphertrace reported on the suspicious project. Consistent with Ciphertrace, PlusToken was able to sum up around $2.9 Bln from some of its 3 Mln users.
Noticeable Spikes Within The Crypto Market Expected Soon
As reported earlier, similar movements within the past from wallets related to PlusToken were followed by suspected massive open market sales on crypto exchanges. In turn, this led to noticeable spikes within the prices of BTC, ETH as well as other altcoins.
Also in November 2019, pseudonymous crypto researcher Ergo suggested that a serious market selloff was possibly driven by the PlusToken scammers attempting to liquidate around 200k Bitcoins on the open market. Similarly, research firm Chainalysis suggested in its December 2019 report that PlusToken scammers might also be using OTC [Over-the-Counter] off-ramps to sell BTC, driving down the worth.
However at the reporting time, the price of EOS still remains stable, presently trading around $2.55 USD, up 0.71% on the day.