Authorities have reportedly arrested four people in Central Japan over an alleged multi-million dollar cryptocurrency Ponzi scheme.
The scheme was known as the Oz project and defrauded investors of about $54 million, according to The Asahi Shimbun newspaper.
The report further says the scheme was launched in 2017 by four people between 46 and 61 years old.
The alleged fraudsters lured victims by claiming to apply artificial intelligence (AI) technology to trading, promising investors 2.5x returns in four months.
Police suspect around 20,000 people invested in the scheme. Investors were reportedly recruited from other Asian countries via webinars.
Lawsuits seeking damages have been filed by several of the investors in Aichi Prefecture, Nagoya and the Japanese capital of Tokyo. Complaints against the OZ Project were filed as early as September of 2019.Check Price Action
Don't Miss a Beat – Subscribe to get crypto email alerts delivered directly to your inbox
Follow us on Twitter, Facebook and Telegram
Surf The Daily Hodl Mix
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Featured Image: Shutterstock/Zapp2Photo