During the fall months, there’s been a lot of talk surrounding the alleged OneCoin scam. Just recently, former Bitcoin Foundation director Bruce Fenton wrote a letter calling for authorities to look into this giant MLM “cryptocurrency.”
Bruce Fenton: A Letter Against OneCoin’s Activities
In a written letter on GitHub, Bitcoin proponent Bruce Fenton is calling for action. The letter states that those who sign the petition are concerned about the “illegal business practices of a business known as OneCoin.” Fenton details that, collectively, people participating in his letter of intent include executives, developers, and investors within the legitimate cryptocurrency and blockchain community.
Fenton reveals that the undersigned participants believe OneCoin is “harmful to the public but also to this technology.” He writes that OneCoin is engaging in “classic fraudulent behavior” but also uses the backdrop of the legitimate blockchain community.
After several investigations by technical engineers, economists, and experts within the industry, many believe that OneCoin isn’t a cryptocurrency at all.
Bitcoin.com chatted with Bruce Fenton and asked him why he initiated this letter. Fenton told us:
I’m an opponent of new regulations governing cryptocurrency and blockchain tech. Often these regs are made by using consumer losses as an excuse. In truth we have many regulations already that prevent theft, hacking and fraud. I’d like to encourage authorities to spend efforts prosecuting existing bad behavior rather than passing new regulations which burden honest businesses.
OneCoin Is Disappointed With the UK’s FCA & Revamped The ‘Blockchain’
Recently, we reported that London officials were investigating the claims of fraud made against the OneCoin operation. However, OneCoin officials wrote a letter against the UK’s Financial Conduct Authority warning, saying they are “disappointed.” The group says they have never been contacted by the London Police and the “investigation has not been explained.”
Furthermore, OneCoin sent out a second press release about its October 1 double coins event. OneCoin founder Ruja Ignatova says that developers have made the OneCoin blockchain more secure and scalable for its upcoming massive amount of transactions. The new revamped OneCoin blockchain is capable of mining 50,000 tokens per block, and significantly faster than before, says OneCoin.
“We do not expect a steep price movement after October 1st. Cryptocurrency value is driven by supply and demand – and demand is driven by brand and usability. By doubling the coins, we will be able to bring the coin to more people and places and strengthen the brand. Also, doubling the coins will allow us to start including merchants to use the coin – which will take us into a new league of cryptocurrency – becoming the first-choice cryptocurrency for merchants. These developments are extremely exciting and will make our coin the global leader in the cryptic market,” says Ruja Ignatova, OneCoin Founder.
— Roger Ver (@rogerkver) October 2, 2016
Cryptocurrency Community Still Says OneCoin Is a Scam
Legitimate cryptocurrency innovators and developers believe most of what OneCoin purports is all bologna. As a result, nearly every day, blockchain proponents and digital currency community members post about this fraudulent behavior. This is most likely happening because Bitcoiners and blockchain advocates don’t want this project associated with real cryptocurrency businesses.
OneCoin is still not listed on any reputable coin market capitalization website or any legitimate exchange. OneCoin has created their own capitalization chart making them the top crypto and offer their own exchange. Meanwhile, there are literally no reports of people using this exchange to cash out as many believe it’s not even possible. At the very least Bruce Fenton hopes his letter will be helpful to those considering joining this MLM operation.
“More importantly, I hope this can help serve as a warning to those who might be considering involvement in OneCoin,” Fenton told us.
What do you think about the letter against OneCoin operations? Let us know in the comments below.
Source: GitHub, and OneCoin Press Releases.
Images via Pixabay, and Bruce Fenton.
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