Mr. Ho, the person behind one of the last year’s Bitcoin scam in Taipei was arrested by the authorities. The culprit, who held the position of the Chairman of Digital Bitcoin Company was responsible for stealing over $300000 from people in the country.
The Digital Bitcoin Company was started by Mr. Ho in mid-2014. According to reports, he started the Bitcoin scheme in early 2015 by claiming that many major players in the market are interested in bitcoin and they are willing to offer prices much higher than the existing market value. He allegedly convinced man people to buy bitcoin for margin trading speculations. Once they bought the digital currency over his platform, he is said to have changed the settings of the server hosting the digital currency deposits to gain control over the bitcoins owned by the customers. He is said to have claimed that hackers have stolen the bitcoins before shutting down the operations of Digital Bitcoin Company.
Mr. Ho is currently facing charges of fraud, breach of trust and document forgery. The Criminal Investigation Bureau, responsible for arresting Mr. Ho has handed him over to the Taichung District Prosecutors Office.
Scams and frauds aren’t a new thing for the bitcoin community. They have seen it all or at least heard about it, thanks to mainstream media’s special attention towards the emerging monetary ecosystem and its underlying technology.
However, it is not Bitcoin or blockchain technology to be blamed for these frauds and scams, it is the people who do that, and they always find a way to defraud people, by taking advantage of bitcoin or not. Most of these fraudulent investment plans and schemes have telltale signs which people should look out for. It is not always hard to spot these signs.
But still, the ones who get sold to these schemes ignore the signs and end up being cheated out of their money. People should pay attention to the warning signs and also do their own research before investing in such schemes.