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Meta 1 Coin Scam Backed by Ex-Senator Lives On Despite SEC's Crackdown

News
Wed, 05/27/2020 - 18:28
Alex Dovbnya
No, Meta 1 Coin doesn’t want to make your life ‘easy and comfortable’ as it claims in its Instagram posts
Meta 1 Coin Scam Backed by Ex-Senator Lives On Despite SEC's Crackdown
Cover image via U.Today
Contents

In its new piece, American news and opinion website DailyBeast reveals that an Instagram account linked the infamous Meta 1 Coin cryptocurrency scam, which was backed by former U.S. Senator David Schmidt, is still active despite being banned from doing so.

Metacoin
image by instagram.com

Back in March, the Securities and Exchange Commission (SEC) charged Schmidt and two other individuals involved in the sham with defrauding investors out of millions with fake cryptocurrency.  

From art to gold 

In 2018, Meta 1 Coin cajoled investors into participating in its initial coin offering (ICO) by promising enormous returns (up to 225,000 percent).  

In order to assuage those who were concerned about the coin’s intrinsic value, the fraudsters claimed that it was backed by a $1 bln art collection. As one might have guessed, Robert Dunlap, the ‘architect’ behind the scam, never bought any pieces. Meta 1 Coin got sued and paid $25 mln to the ‘Art Collector’ whose works they attempted to appropriate.        

After the artsy failure, Meta 1 Coin started claiming that its tokens were pegged to ‘vaults of gold’ that also never existed.

It also didn’t help that one of the project’s operators bought a Ferrari with his swindled money. 

Not leaving Instagram 

None of the 150 ICO participants got their tokens, and Meta 1 Coin inevitably appeared in the SEC’s crosshairs since most of them were from the U.S. 

As mentioned above, the U.S. regulator halted the ongoing scam back in March while freezing its assets and charging its managers with fraud.

Last week, U.S. District Judge Robert Pitman issued arrest warrants for Schmidt and other bad actors behind the fraud after they failed to appear in court. He also prohibited Meta 1 Coin from posting any content on social media.

About the author

Alex Dovbnya (aka AlexMorris) is a cryptocurrency expert, trader and journalist with extensive experience of covering everything related to the burgeoning industry — from price analysis to Blockchain disruption. Alex authored more than 1,000 stories for U.Today, CryptoComes and other fintech media outlets. He’s particularly interested in regulatory trends around the globe that are shaping the future of digital assets, can be contacted at alex.dovbnya@u.today.

Ethereum (ETH) Market Cap May Become Equal to Bitcoin's (BTC): ConsenSys Director

News
Mon, 07/13/2020 - 14:38
Vladislav Sopov
John Lilic, managing director at ConsenSys decentralized development studio, has shared an over-bullish prediction for Ethereum (ETH) progress
Ethereum (ETH) Market Cap May Become Equal to Bitcoin's (BTC): ConsenSys Director
Cover image via stock.adobe.com
Contents

John Lilic leads international business development in the ConsenSys leading blockchain development studio. He is also an expert in energy markets and cryptocurrency segments. He tracked the progress of Bitcoin's (BTC) and Ethereum's (ETH) market capitalization statistics, coming up with an extravagant prediction.

Bitcoin (BTC) should get ready for parity

Mr. Lilic outlined that Ethereum (ETH) is showcasing much healthier dynamics than its competitor is. For instance, the flagship cryptocurrency still surpasses Ethereum (ETH) by 6.3x in terms of market capitalization, while simultaneously collecting 20% fewer fees than Ethereum (ETH).

John Lilic of ConSensys foresees parity of Bitcoin (BTC) and Ethereum (ETH) market capitalizations
Image via Twitter

Also, Ethereum (ETH) is demonstrating much more impressive price dynamics this year. It gained almost 37% against Bitcoin (BTC) in 2020. That said, Ethereum (ETH) looks severely undervalued to the top manager of ConsenSys.

However, Ether is on the path to eliminating this discrepancy. Eventually, the top two cryptocurrencies may reach market capitalization parity, concludes Mr. Lilic.

Related Bitcoin (BTC) and Ethereum Have (ETH) Recovered From Black Thursday, Who Else? Coinmetrics Explains
Related
Bitcoin (BTC) and Ethereum Have (ETH) Recovered From Black Thursday, Who Else? Coinmetrics Explains

As covered by U.Today Crypto News recently, Coinmetrics on-chain research team called Bitcoin (BTC) and Ethereum (ETH) the unique crypto behemoths that have managed to recover from Black Thursday.

Bitcoin (BTC) is losing supremacy in "fee race"

Should Ethereum (ETH) overcome its undervaluation, its price may be over $1,550 based on liquid supply and current Bitcoin (BTC) market capitalization.

Recently, it was unveiled that Ethereum (ETH) blockchain continues to surpass Bitcoin (BTC) in terms of network fees for more than 30 days in a row. Ethereum (ETH) is seeing this advantage for the first time in its history.

As U.Today Crypto News reported previously, ex-Messari analyst and angel investor Qiao Wang identifies two main catalysts of Ethereum's (ETH) price run in the mid-term perspective.

Related Ethereum (ETH) Price Two Bullish Signals, According to Investor Qiao Wang
Related
Ethereum (ETH) Price Two Bullish Signals, According to Investor Qiao Wang

According to Wang, the upcoming rally may be fueled by a long-awaited transition to Proof of Stake and fixing the monetary policy of Ether token.

About the author

Blockchain Analyst & Writer with scientific background. 5+ years in IT-analytics, 2+ years in blockchain.

Worked in independent analysis (Crypto Briefing) as well as in start-ups (Swap.online, Monoreto, Attic Lab etc.)