Ponzi Scheme Scam In China Puts TRON In The Circle

TRON and the Founder, Justin Sun have been reported to be facing a lot of criticism in the home country China due to a scam ponzi scheme project that shutdown fraudulently and ran with investor’s fund.

The ponzi scheme with name; “Wave Field Super Community” took China by storm and can be accessed both through their website and through the mobile application. It is a pyramid scheme ponzi. The scheme started at the beginning of the year and closed at 10:00 am on June 30. The reported fund lost to the scheme is 29 million USD.

The ponzi scheme share the same name with Tron and its TRX cryptocurrency which is widely known as “Wave Field”. This increased investors’ faith in the project, not only that, the reported means to invest in the scheme is through TRX. So the ponzi scheme was well tethered with TRON and with that gained massive popularity.

According to local report, during its operational days, many users asked the founder of the “Wave Field”, Justin Sun, the relationship between the project and the “Wave Field” but he did not respond directly. He only posted something about it after the closure of the project and this has been critically accused.

Reporting on the shutdown:

“On the morning of June 30, the wave field super community official group announced that in order to better optimise the community there will be a platform upgrade, but did not announce how long the maintenance will take, it only directed users to consult the official customer service, at first, it took customer service a few minutes to reply, then later stopped replying to the message. Subsequently, a number of wave field super community groups announced that the wave field community was maintained by hacker attack networks. By 10:00 on June 30, the app could not be downloaded, and investors realised that the official might have run”.

“On July 1st, an information about a suicide note began to spread on WeChat groups. It is of a middle-aged woman named “Xia Bing” that claimed that she had been defrauded by the wave field super community and continuously bought 230,000 TRX to invest in the wave field super communities. According to her, the money was borrowed from a friend, and the interest was high and she was a single mother and had a son who said that he could not repay the debt”

Although this suicide info has spread widely but it is yet to be verified and a local report stated that the police have yet to file a report.

Justin Sun tweeted about the ponzi scheme issue and its alleged attachment to the TRON Foundation on July 1:

His claim may be right as many other schemes have surfaced in the past to defraud users and gained popularity by attaching the scam project to popular legal assets and companies. But the affected users claim he must do more to clear himself of this stating that he has previously been asked in the past when the scheme was still gathering funds from users but failed to give any clear reply. They also point out that the whole issue has helped pumped TRX price through the period of operation of the ponzi scheme.

Author: CoinTick Editorial

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