Do not invest more money than you can afford to lose.
Austria’s financial markets regulator FMA, has issued a warning against the MLM cryptocurrency scheme OneCoin.
In its typical curt style, FMA informs that OneCoin Ltd., with a registered address in Sofia, Bulgaria, and website www.onecoin.eu, is not entitled to carry out banking transactions in Austria that require a license. “The provider is therefore not permitted to conduct the issuance and administration of payment instruments such as credit cards, banker’s drafts and traveller’s cheques on a commercial basis, with no limitation applicable to the term of crediting in the case of credit cards”, FMA said.
This warning is the latest chapter in the never ending saga of various national authorities vs. OneCoin, which has been going on for over a year now. But it seems that the recent arrests in India, the criminal investigations in Germany and the numerous warnings from various regulators, do not deter the OneCoin MLM scheme.
OneCoin is a special type of cryptocurrency that could bring big profits to those who sign up for the training “seminars” of the company. The company claims it has mined 749,970,000 OneCoins and has “ global customer base of millions of people in over 195 countries and six continents and is independent of governments”. The scheme is ran by the Bulgarian Dr. Ruzha Ignatova and has the penchant of throwing lavish parties across the world to promote itself and attract gullible investors.
The scheme repeatedly turns up in the sights of various financial regulators, most recently of Malta Financial Services Authority (MFSA). There have been warnings against it from Belgium, UK, Latvia, Bulgaria, Hungary, investigations in Sweden and publications in various European media telling of the scam and likening the OneCoin to “Monopoly money”. Some regulators, like Hungary’s c-bank Magyar Nemzeti Bank (MNB), has described OneCoin as a “Ponzi scheme”.