Jump to content

Chinese Authorities Prosecute Alleged Masterminds Behind MDC Pyramid Scheme


roadrunner

Recommended Posts

shutterstock_572416810.jpg

Chinese authorities in Rong County recently said they have prosecuted eight individuals accused of being the masterminds behind the Magic Data Chain (MDC) pyramid scheme. The pyramid is thought to have handled transactions with a total value of over $147 million.

Virtual Currency Pyramid Scheme


Authorities in China’s Rong County, Zigong City, recently prosecuted eight people accused of orchestrating the MDC virtual currency pyramid scheme, a local report has said. According to the report, the prosecution of the case was handled by the Rong County People’s Procuratorate, and was only carried out some ten months after the arrest of MDC’s 12 core members.

According to a report from the Sichuan Provincial Public Security Department, the MDC pyramid scheme was initially cracked in May 2021. Subsequent investigations by authorities in Rong County then determined that the scheme had been in existence since July 2019.


MDC’s 2 Million Registered Members


In the report, authorities said the criminals — who were led by an individual called Yang — had “built a blockchain website of ‘Magic Data chain’ and a virtual currency trading website of ‘XIN Exchange.'” According to the report, the MDC virtual currency platform had handled transactions with a total value of over $147 million (1 billion yuan).

In addition, the scheme had 2 million registered members and some 200,000 participants in 30 provinces across China. When authorities in Rong County finally raided MDC in 2021, the assets “seized and frozen” were worth just over $4.4 million, the report said.

What are your thoughts on this story? Tell us what you think in the comments section below.

View the full article

Link to comment
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

×
×
  • Create New...