Bitcoin

A Bitcoin master swindle
On November 4th, 2011, a BitcoinTalks forum user named pirateat40 has announced the creation of a Bitcoin investment fund, promising to the investors a return on investment of 7% per week.

Despite numerous suspicious elements and ridiculous incentives to invest such as “It’s growing, it’s growing!”, “I have yet to come close to taking a loss on any deal,” and even “risk is almost 0”, the fund encountered a fast and great success: according to the SEC report, more than 700 467 BTC, the equivalent of 411,7 million dollars, have been collected by Trendon Shavers, a.k.a pirateat40.

Contrary to the presentations made to the investors, the fund was not performing any trading activities; in addition, the users have never seen their « invested » bitcoins again.

Here is an infographic explaining the whole swindle scheme