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OneCoin finally responded to various accuses they have been charged with

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OneCoin has been in news ever since it launched in 2014. The number of countries has already banned OneCoin and labeled it as fraudulent cryptocurrency. Previously United States, New Zealand, Singapore has warned the people regarding the promotion of this fraudulent cryptocurrency and arrested several peers associated with it charging them under the Multi-Level Marketing and Pyramid Selling (Prohibition) Act. Apart from that, OneCoin has recently been bashed by the Central Bank of Samoa (C.B.S.) that they are a “hybrid Ponzi-pyramid scheme” that “laundered money through New Zealand to Samoa” and duped the individuals via churches.

OneCoin representative has come forward to answer the various accuses they have been charged with and said that its associates are “self-employed business owners” and they are willing to comply with financial norms made by the local government.

Later the company sent a letter to Samoa Observer, the largest newspaper group in Samoa published in both English and Samoan and said that no one has right to give any sort of statement on behalf of the company in New Zealand and Samoa. “Let it be clear that neither OneCoin nor OneLife companies have organization, representation or employees in Samoa and New Zealand,” the statement reads.

“OneCoin is a centralized, closed cryptocurrency. The closed system has strict A.M.L. and C.F.T.  (Anti-Money Laundering and Combating the Financing of Terrorism) policies as well as K.Y.C. (Know your customer) implementation, as in our case, prevents anonymous transactions.”

Giving further clarification on the current legislation on pyramid sales, the company said that the users who are associated with ‘the OneLife Network are not consumers, but Independent Marketing Associates (I.M.A.) — meaning they are self-employed business owners.’ Hence, the company doesn’t consider itself responsible for any activities by I.M.A of OneLife that might have violated the regulations. In the statement, the company said that “We would like to state that the company does not consider it has any responsibility for activities directed by OneLife I.M.A at Samoa and New Zealand. We do care about I.M.A behavior and insist on them being compliant with local regulations.”

Last month, the C.B.S. issued a press statement based on a “spontaneous intelligence report from the New Zealand Financial Intelligence Unit (N.Z.F.I.U.) regarding the OneCoin operations.” The report read an association of OneCoin with both types of scam – Ponzi Scheme and Pyramid Scheme and labeled it as a “Hybrid Ponzi-Pyramid Scheme.”

CBS has banned all the transaction involving OneCoin and due to that OneCoin had opted for New Zealand’s financial system to carry out the businesses and transfer the money which is ultimately responsible for the financial problem in NZ. NZ Financial Intelligence Unit (NZFIU) also reported that NZ$3.5m (T$6.06 million) was transferred out of NZ.

Jacob Lucas

Jacob Lucas

Jacob has been active in the cryptocurrency markets since 2010, specializing in Bitcoin. He received education as Certified public accountant, specializing in taxes and cost management. Looking for alternative sources of income due to some personal struggles Jacob discovered Bitcoin 2010, showing some commitment and first to learn and get all the basics. Jacob made his fists investment in bitcoin in 2011 and has been successful in the field. Writing in the field is part of Jacob’s commitment to share knowledge with others.

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