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▲ Cryptocurrency crime, cryptocurrency fraud/AI generated image
Victims of OneCoin, dubbed the worst virtual asset scam in history, finally have a path to recover their lost assets after more than 10 years.
According to Cointelegraph, a cryptocurrency specialized media outlet, on April 14 (local time), the U.S. Department of Justice (DOJ) has officially initiated the compensation process for victims of the OneCoin scam. The compensation funds were secured from criminal proceeds confiscated during the investigation. The deadline for compensation applications is June 30. Victims can submit proof of loss and apply for a refund through a dedicated website.
The OneCoin incident was a large-scale multi-level marketing financial fraud that deceived investors worldwide from 2014 to 2019. Founders Ruja Ignatova and Karl Greenwood promoted OneCoin as a Bitcoin (BTC) killer, attracting funds. However, OneCoin turned out to be a fake virtual asset with no real blockchain technology. The estimated damage worldwide exceeds $4 billion.
Jay Clayton, U.S. Attorney for the Southern District of New York, stated, "The launch of this compensation process is a significant step forward in returning funds to victims." Prosecutor Clayton emphasized his commitment to tracking down criminal proceeds to the end to compensate victims for their losses. A. Tysen Duva, Assistant Attorney General for the U.S. Department of Justice's Criminal Division, also added, "Protecting victims is central to our mission."
Eligible for compensation are investors who incurred actual net losses by investing in OneCoin between 2014 and 2019. No separate fees or legal representation are required during the application process. Victims must attach documents that prove their financial losses. Victims who fail to submit their application within the deadline will be excluded from this compensation program.
The U.S. Department of Justice continues to track illegal funds in cooperation with investigative agencies such as the IRS-Criminal Investigation (IRS-CI). Greenwood has already been sentenced to 20 years in prison and is serving his term. Ignatova, known as the "Crypto Queen," has been at large since her disappearance in 2017 and is still evading authorities. The U.S. Federal Bureau of Investigation (FBI) has placed her on its top ten most wanted list and is pursuing her whereabouts.
*Disclaimer: This article is for investment reference only and we are not responsible for any investment losses based on it. This content should be interpreted for informational purposes only.*
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