PlusToken exit scam steals $2.9–3.5 billion
PlusToken, a Ponzi scheme targeting primarily Asian investors, collapses, revealing massive BTC theft and arrests of operators in Vanuatu.
On June 27, 2019, PlusToken, a multi-level marketing cryptocurrency scheme primarily targeting investors in China, Korea, and Japan, was revealed as a massive exit scam, with estimated losses of $2.9–3.5 billion. The platform had promised monthly returns of 9–18%, attracting hundreds of thousands of investors. On this date, six high-level Chinese nationals associated with the scam were arrested in Vanuatu, following which users were unable to withdraw funds, confirming the collapse.
Media coverage, including reports by Medium, CoinDesk, and Chinese crypto outlets, detailed the rapid liquidation of funds, which reportedly affected BTC liquidity across global exchanges for months. The scam illustrated significant vulnerabilities in unregulated cryptocurrency investment schemes, including the dangers of opaque wallet management, multi-level marketing tactics, and inadequate regulatory oversight.
Analysts warned that PlusToken’s actions would likely influence stricter enforcement measures and global awareness campaigns to protect retail investors.Discussions in the crypto community emphasized the need for due diligence, KYC/AML standards, and vigilance against high-yield promises in digital asset markets, highlighting the ongoing intersection between fraud prevention and cryptocurrency adoption.