The world of cryptocurrencies is fascinating and confusing at the same time. It lures with the promise of quick wealth, but also carries risks, as the history of the EXW token shows. This article highlights the shocking case of Exchange Wallet (EXW) – a seemingly promising crypto company that turned out to be a fraudulent pyramid scheme.
The EXW Case: A Crypto Nightmare
Exchange Wallet, EXW for short, presented itself as an innovative cryptocurrency and trading platform. It attracted numerous investors with the promise of daily bonuses and high returns through crypto tokens and trading bots. But behind the facade was a bitter reality: EXW was planned as a scam from the start. Around 40,000 victims lost a total of 17.6 million euros; according to an ex-girlfriend of the main defendant, the damage could amount to up to 120 million euros.
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The rise and fall of the EXW token
EXW started as a promising cryptocurrency project that positioned itself as a solution to global financial problems and a pioneering community project in the field of digitalization. Investors were lured with the prospect of attractive returns. The EXW token, based on an ERC20 smart contract on the Ethereum blockchain, has been touted as a revolutionary investment tool. But instead of real returns, the deposits went directly into the operators' pockets.
The intervention of the authorities and the turnaround in the case
The first warning signs appeared in 2019, when the Austrian financial market regulator issued an investor warning based on a whistleblower. Further warnings from Germany, Liechtenstein and Switzerland followed. Nevertheless, the operators continued their fraudulent activities until the legal investigation finally began.
The dramatic confession
The turning point in the trial came when the main defendant made a surprising confession. After his ex-girlfriend's incriminating statement, he admitted that EXW was planned as a scam from the start. This confession was a pivotal moment in the trial and brought to light the true extent of the fraud.
Further developments and related scandals
The EXW case drew wider circles. My First Plant GmbH, whose managing director was in contact with EXW, also went bankrupt. This company lured investors with the promise of returns from growing cannabis, another example of fraudulent multi-level marketing.
Conclusion: Warning signal for crypto investors
The EXW scandal serves as a warning example of the risks in the crypto market. It shows how important it is to be thoroughly informed about investments and to critically question the credibility of promises. The case highlights the need for transparency and regulation in the cryptocurrency world to protect investors from such scams.
Source: heise.de
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Notes:
1) This content reflects the current state of affairs at the time of publication. The reproduction of individual images, screenshots, embeds or video sequences serves to discuss the topic. 2) Individual contributions were created through the use of machine assistance and were carefully checked by the Mimikama editorial team before publication. ( Reason )