It was stated that customers could not access their funds due to a mistake in a popular trading bot and 120 thousand Bitcoins worth $ 1.2 billion were in danger.
Spain-based trading software development company Arbicorp recently shut down a trade bot. This decision of the company affected approximately 32 thousand customers who deposited their money and are currently unable to withdraw.
The Arbistar 2.0 trade bot promised 1 percent daily earnings to customers who invested at least 3000 euros in the system. It was stated that there will be an extra bonus for new customers brought by users.
Has the pyramid collapsed?
In this system, which has been seen especially in exit frauds recently, the breaking point has come again! According to the company statement, a configuration error in the bot resulted in customers getting less money than they had to earn. However, as it is known, a sudden stop for unknown reasons, huge losses of new investors and inability to withdraw money are generally known features of pyramid scam:
“All accounts are frozen. There is no new investment situation. Profits made since September 12 have not been recorded. Withdrawal activities were stopped. ”
According to research firm Tulip Research; The loss suffered by investors at the end of this event is approximately $ 1 billion.
No payment for law applicants
The company stated in a statement that they are not a fraud organization and that the trade bot is reliable. He also stated that the payments will be made to the customers who will not take legal action against them.
Quick profit, high return …
Such fraudulent events called pyramid schemes are very common in the cryptocurrency world. Investors who want to make a quick profit or are deceived by promising high returns do not hesitate to put high amounts of money into such organizations.
In fact, the Better Business Bureau rated cryptocurrencies as the second most risky assets at the beginning of 2020. According to the announced data; 32 percent of the frauds occurred during the purchase of cryptocurrencies, 23.4 percent in investments considered as opportunities, and 31 percent through the suspicious C2CXr stock exchange in China.
The customer who invested 7 thousand euros spoke: To guarantee my future …
A Spanish investor named Manuel invested 7,000 euros in this organization. Speaking to El Diario from the Spanish media, Manuel said that he made his investment to guarantee his future during this crisis period and expressed his regret:
“Why did I get into this mess? Because today it is impossible to buy an apartment and have a family in Spain. I am currently working in Dublin and earning little. I thought, “If I make this investment, I can buy myself a house.” Because in the end you always need money and guarantee your future ”