OneCoin victims get a $40 million lifeline more than a decade after the scam began
CoinDesk·8h ago·Hope
What Happened
The U.S. Department of Justice announced a $40 million compensation fund for OneCoin victims on Monday. Between 2014 and 2019, OneCoin founders defrauded approximately 3.4 million investors of over $4 billion globally. The scheme operated through a multi-level marketing network in Bulgaria, selling fake cryptocurrency tokens with no blockchain existence. Co-founder Karl Sebastian Greenwood pleaded guilty to wire fraud and money laundering in 2022. The DOJ continues pursuing founder Ruja Ignatova, offering a $5 million reward for her capture.
Key Entities
OneCoinU.S. Department of JusticeRuja IgnatovaKarl Sebastian Greenwood3.4 million victims$4 billion fraud$40 million compensation fundSofia BulgariaJay Clayton