Fraudulent projects and their implementation methods in the cryptocurrency market are varied and endless, but they can be overcome and identified by obtaining information, intensifying self-learning about fraud methods, and educating about cryptocurrency in general.

Recent Chinese reports indicated that a new scam project similar to the infamous PlusToken has been spotted.

The new scam project, called “WOTOKEN,” has managed to trick more than 700,000 users into stealing more than $1 billion in bitcoin and other digital assets.

The new Chinese threat: WOTOKEN

According for local reportsthe trial began on May 14 at the People’s Court of Binhai County, Yancheng City, against six defendants allegedly operating the WOTOKEN project.

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More specifically, the court blamed the gang for having organized and operated multi-level marketing activities, providing false stories, misinformation, hidden income and even doing some crimes.

The Chinese authorities first learned about the WOTOKEN project in August 2018.

All the defendants had different responsibilities within the project, from hiring technical staff and creating fraudulent platforms to creating attractive online and offline promotional campaigns.

The platform operates without any actual trading activities, and instead, suspicious marketing messages claim that it acts as a smart online wallet for cryptocurrencies that allows automatic revenue generation for users.

And since it promises to provide profits, in addition to the unreal privileges, all this made thousands of users turn to it in the hope of getting some profits, it turns out later that the project is fraudulent with distinction and that it works similar to the fraudulent PlusToken project.

I told Dovey One that one of the main criminals involved in WOTOKEN is the same one involved in the PlusToken project.

Over $1 Billion in Cryptocurrency Stolen:

According to the report, the WOTOKEN project has been operating from July 2018 to October 2019.

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The project worked as a classic MLM project, but had a suspiciously high number of total hierarchical levels.

During the above-mentioned period 715,249 people were registered on the WOTOKEN platform.

The WOTOKEN project has received from victims 46,000 BTC, over 2 million Ethereum, 292,000 Litecoin, 56,000 BCH, 684,000 EOS, and large amounts of many other lesser known digital assets.

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According to the same report, the total amount collected by the fraudulent project from its affiliates is 7.769 billion yuan, or about 1.1 billion dollars.

Some of the defendants already had a criminal past, and the prosecution required all of them to pay an undisclosed fine for their evil deeds, and that the prison term could vary from six months to eleven years, the report explained.

Because of the complexity of this trial, the court suspended the case after six hours and continued next week.

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