In a tweet from Ki Young Ju, CEO of CryptoQuant, the Chinese government holds more BTC than the popular BTC whale, MicroStrategy.
Further details show that Chinese authorities removed 194.775 BTC, 833.083 ETH, 487 million XRP, 79.581 BCH, 1,4 million LTC, 27,6 million EOS, 74.167 DASH, 6 billion DOGE and 213.724 USDT from the PlusToken scam. of 2019. Chinese police forces seized these assets from PlusToken's Ponzi scheme in China.
PlusToken started out as a cryptocurrency wallet in 2018. Ponzi has defrauded over 2 million investors from Asia and other regions of the world. Nearly 200.000 BTC has been stolen from these investors. PlusToken lured gullible investors using a pyramid scheme that rewarded users with a 30% ROI for holding their cryptocurrency asset.
Further investigation reveals that the team paid existing clients with deposits from new investors. As a result, many PlusToken users have been experiencing withdrawal issues.
While the Chinese government owns over 194.000 Bitcoins, MicroStrategy only owns 130.000 BTC. The world's number one BTC whale company bought its asset at an average price of $ 30.623 per BTC. MicroStrategy has invested a total of $ 3,981 billion in BTC. Other companies like Galaxy Digital Holdings, Voyager Digital LTD, Tesla Inc., and Marathon Digital Holdings Inc. are BTC whales with over 10.000 BTC in their possession.
The Chinese government is fighting cryptocurrencies despite holding large amounts of BTC
CryptoQuant CEO said the PlusToken team is responsible for the recurring drop in the price of Bitcoin during the looting period. The price of BTC was impacted by the fact that the team continuously traded the plundered funds through over-the-counter (OTC) platforms. In Ki Young's tweet Ju added;
We have been tracking their wallets since 2019. It sucks to see the market drop because of these rogues. I hate these scammers so much ... You might be like that too.
He pointed out that some of the culprits are still actively sending BTC to exchanges on the same mixer. According to CrptoQuant, an on-chain cryptocurrency analytics firm, a 50 BTC transaction was recently initiated on the mixer.
The revelation of the Chinese cryptocurrency has generated a lot of reactions from the Twitter community. One user asked what would happen to BTC if the Chinese authority sold the asset, while another complained that the Chinese government's presence is spreading fear, uncertainty and doubt (FUD) in the crypto space. Another reaction speculated that China has seized several other cryptocurrencies besides the PlusToken scam.
However, the Chinese government has taken several measures against cryptocurrency companies and trading platforms. The government has banned other cryptocurrency-related platforms and news outlets. The global cryptocurrency community fears further government restrictions, as China is home to the majority of cryptocurrency miners. Additionally, a Central Bank of Digital Money (CBDC) has been established in China for cryptocurrencies in order to oversee monetary control.
