Cryptocurrency

when

HyperVerse

<ul class="list-ic vertical">
 <li>1 <a>According to The Guardian, Australian regulators and police failed to act on HyperVerse crypto Ponzi scheme.</a></li>
 <li>2 <a>Crypto scammers are now creating fake investment platforms that promise easy money to the public.</a></li>
</ul>
Cryptocurrency scams are similar to financial frauds, where criminals try to steal money. Identifying and avoiding such scams is crucial by understanding the warning signs and taking necessary precautions.
<h2 class="wp-block-heading" id="strong-the-police-failed-to-act-on-the-hyperverse-scam-strong">The Police Failed to Act on the HyperVerse Scam&nbsp;</h2>
According to The Guardian, Australian regulators and police passed the HyperVerse crypto Ponzi scheme between them for two years before taking action, causing investors to lose $1.7 billion.
HyperVerse was reportedly referred to the Victoria police by ASIC for “possible fraud offences” in 2020. It took until January 2022 for Victoria Police to refer it back to ASIC. The police spokesperson said it took time to assess the case, and ASIC was “best placed to look at it further.” The matter is under active consideration by VicPol.
HyperCapital was the operation’s name when the first referral was made. In 2020, it was rebranded as HyperFund and was eventually renamed HyperVerse in December 2021.
HyperVerse founders Sam Lee and Ryan Xu also ran Global Blockchain, another affiliate scam, which collapsed during the same period, owing investors AUS$58 million ($37.7 million). In December 2023, ASIC was criticized for not publishing any warnings related to HyperVerse.
<h2 class="wp-block-heading" id="strong-dfpi-targets-several-cryptos-for-false-promises-strong">DFPI Targets Several Cryptos for False Promises</h2>
The Department of Financial Protection and<a href="https://www.thecoinrepublic.com/2024/02/15/leo-price-prediction-is-leo-price-entering-in-the-bullish-zone/" target="_blank" rel="noopener noreferrer nofollow"> Innovation (DFPI) </a>has targeted Maxpread Technologies, Harvest Keeper, Visque Capital, Coinbot, and QuantFund, alleging that each company offers investors unqualified securities and false promises. The companies are accused of making exaggerated claims about generating high returns using AI for crypto trading and multi-level marketing tactics to lure unsuspecting victims.
Cardano’s Charles Hoskinson shared a screenshot of an email sent to him in which the sender posed as him to try to scam the recipient into investing in a “first medical multichain on the Cardano blockchain,” which supposedly saves lives. The incident was shared in a tweet in June.
That covers initial coin offerings (IOCs), initial DEX offerings (IDOs), and initial exchange offerings (IEO). Essentially, these are the sources from which companies raise funds from the public to finance new projects.&nbsp;
The most well-known example of this scam is ChatGPT. When there was a buzz around it, over 400 listings were named ChatGPT, but officially, ChatGPT never listed itself or asked people to invest in it.
Scammers are now creating fake investment platforms that promise easy money to the public. They create the interface to look legitimate to people, and once people invest money in them, they abscond with all their money.
<h2 class="wp-block-heading" id="strong-stephen-diehl-shares-some-harsh-words-on-crypto-strong">Stephen Diehl Shares Some Harsh Words on Crypto&nbsp;</h2>
According to Stephen Diehl’s popular blog, cryptocurrency is not a legitimate investment but rather a fraudulent scheme. Diehl argues that the underlying economics of the products sold in the crypto market are contingent on fraud and misrepresentation, making it the only defensible position to consider crypto a scam.&nbsp;
Crypto matches the definition of a scam in that it is a clever and dishonest scheme, and misrepresentation and the abuse of language are central to the success of the crypto market. However, it is undeniable that crypto is a clever scam, and this is said with complete sincerity.&nbsp;
While some may argue that crypto can be used as a currency or investment, Diehl debunked these claims as crypto is not a reliable store of value, a medium of exchange, or a new financial system. These cases are simple; if someone sells something that is not what they claim it is, they are either dishonest in directly misrepresenting the product or themselves.&nbsp;
<h3 class="wp-block-heading" id="strong-conclusion-strong">Conclusion&nbsp;</h3>
Australian regulators and police allegedly passed the HyperVerse crypto Ponzi scheme between them for two years before taking action, causing investors to lose $1.7 billion. The Department of Financial Protection and Innovation (DFPI) has targeted several

Crypto Scam: Police Failed to Act on the HyperVerse Scam

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Thecoinrepublic.com

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