OneCoin Scam: Pakistanis disproportionately affected, lost millions of dollars in world’s biggest cryptocurrency scam

  • In May, Dr.Ruja Ignatova, the founder of OneCoin, was charged by US for securities fraud, wire fraud, and money laundering, but as yet is not under arrest.
  • OneCoin publicized their own Shariah-compliant certificate, issued by the Pakistan-based Al-Huda Center of Islamic Banking and Economics.

The OneCoin scam was among the world’s biggest crypto-scam that hit the digital world this year.

As it turns out that the multi-billion dollar cryptocurrency built by Dr Ruja Ignatova was nothing more than a pyramid scheme. Back in March, Ignatova, the founder of OneCoin, was charged by US for securities fraud, wire fraud, and money laundering, but as yet is not under arrest.

Back in 2015 Ignatova build a team of Multi-Level-Marketers,  which turned out to be a success from the beginning.“We made in our first month almost 90,000 euros out of nothing,” said Igor Albus, one of the world’s highest-earning Multi-Level-Marketers and former OneCoin top seller to BBC Speaks.

Talking about the working of OneCoin, Igor revealed that the team was made up of thousands of professional network marketers, they would built OneCoin packages and became independent marketing associates; they will then sell packages to other people making money via commission__ 40 percent would come in OneCoin whereas 60pc came in Euros.

So how did Muslims became the target of this scheme? As the lawfulness of the newly emerged cryptocurrencies has been much of a debate among Islamic scholars, Muslims seek Shariah-compliant certificate to carry out investments  in such currencies.

Mindful of this, OneCoin publicised their own Shariah-compliant certificate, issued by the Pakistan-based Al-Huda Center of Islamic Banking and Economics, bringing in great relief for British Muslims.

However as it was expected the certificate proved to be fake. “There was no evidence of any research carried on, it was just a blank certificate saying this okay,” said Mufti Mohammad Amjad, a scholar from Bradford.

The mufti then issued a fatwa- a religious ruling, saying that Muslims should not invest in OneCoin. Continue reading…

Comments (No)

Leave a Reply