Law Enforcement bodies in Chinese city Xuchang arrested 27 people suspected of organizing cryptographic pyramid "I'm a clown" (IAC), whose capitalization amounted to about USD 193 million.
State television reports about this CCTV.
Stolen funds – more than 1.3 billion yuan ($ 193 million) in cash – are stored in a specially purchased villa.
IAC become a platform for the development of a large social network based on blockchain technology, Big Data and Artificial Intelligence. Acting in accordance with the classic Ponzi scheme, company representatives have asked for investment in the cryptovalute project, in turn promising tremendous revenue.
It is also alleged that the main suspects were hiding outside of China and managed the remote platform with the help of hired staff. The fraudsters used false corporations to conceal their personalities.
The suspects were arrested in August 2018, but investigators released details of the operation this week.