Cardano co-founder, Charles Hoskinson, has disproved claims connecting the Cardano establishment with a multi-level marketing (MLM) campaign alleged of advancing its token (ADA) in China.
Hashkey Hub’s marketing Chief, Mo Li has previously blamed Cardano for utilizing his photograph to advertise ADA to old rich individuals in China. She further affirmed that the MLM campaign was behind the ongoing rise in the price of Cardano (ADA) and worth.
Hoskinson chastised Li for suggesting that the MLM plot was identified with Cardano’s ongoing value rally. He further asserted that the campaign is only a ploy to trick rich Chinese ranchers into parting with their cash and that they had not gotten consent to utilize Cardano pictures and copyright.
These events have nothing to do with ada or its recent appreciation. They are illegal. The people running them often just take the money and run. You know I have nothing to do with them. They have no affiliation with anyone in the Cardano ecosystem. Is this clear?
— Charles Hoskinson (@IOHK_Charles) July 5, 2020
Crypto Ponzi Schemes have Become Increasingly popular
Ponzi schemes are getting increasingly wild in the digital currency environment, with new members searching for approaches to acquire easy income. Tricksters exploit the fact that a large number of individuals are as new to blockchain and how it truly functions. They use blockchain phrases like exchange profit, smart contracts, blockchain ledger alongside the bait of bringing in easy income to get their victims.
These con artists made about $4.3 billion worth of digital cash in 2019. This is multiple times more than what they made the earlier year. Most of these originated from Ponzi schemes.
One of such scheme is the PlusToken Ponzi scheme accepted to be the ” greatest crypto Ponzi scheme ever.” Situated in China, PlusToken presented itself as a digital cash wallet that would compensate its customers with high rates of profit for the condition that they purchased the wallet’s PLUS cryptocurrency tokens with Bitcoin or Ethereum.
The extortionists affirmed that those rewards would be delivered by “trade benefit, mining, and referral benefits.” PlusToken would continue to be recorded on a couple of Chinese exchanges and hit an apex cost of $350 USD, gathering together “investments” in millions.
It is good that Hoskinson has come out and refuted this claims as it shows the integrity within the Cardano blockchain.