The virtual asset platform 'Quantvine,' which was under suspicion of Ponzi scheme (multi-level financial fraud), closed its website and suddenly disappeared on 12th. Numerous posts and videos claiming to have made revenue from Quantvine have also been deleted and cannot be verified. Quantvine promised that users would be able to recover their principal and revenue if certain conditions were met, but currently, withdrawals are blocked. The number of victims is expected to be in the thousands.
As the reality of the Quantvine Ponzi scheme damage unfolds, similar virtual asset companies are thriving on social media (SNS). These companies claim they can generate unimaginable revenue, just like Quantvine. They even borrowed a multi-level structure where additional investors must be attracted to elevate their 'rank' in order to achieve higher revenue.
As of 2 p.m. that day, there were over 4,200 members in the Quantvine victims' group cafe. The number of victims is expected to reach several thousand. The amount of verified losses so far is relatively small, ranging from hundreds to thousands of dollars per victim. Victims are unable to identify the operators of Quantvine, leaving them unsure of who to sue. Quantvine claims to have its headquarters in San Francisco, California, and to have obtained a business license from U.S. financial authorities, but the exact facts have not been verified.
Quantvine attracted investors by guaranteeing a daily revenue of 2% (annual 137,600%). Users could invest only between 100 and 300 Tether (USDT). USDT is a stablecoin tied to the U.S. dollar, with 1 USDT valued at 1 dollar. This means the maximum investment amount is 300 dollars.
Quantvine victims invested with peace of mind, knowing that the maximum investment amount was 300 dollars (430,000 won). This was because they believed that even if they lost their entire investment in the fraud case, it would not affect their daily lives. They invested with the mindset of 'seeing it as a loss if they don't invest' after seeing plausible revenue certification posts spread across the internet.
Like typical Ponzi schemes, Quantvine distributed promised revenues early on. Some investors began to trust Quantvine and promote it, believing they had nothing to lose since it was being reinvested from revenue. Moreover, attracting another investor would increase the revenue. Quantvine also held events to provide new investors with USDT for free, boosting its efforts to attract investors, but recently blocked withdrawals and went missing.
The Financial Supervisory Service (FSS) noted that illegal businesses enticing investments through virtual asset arbitrage are rampant, issuing a consumer warning at the 'caution' level on the 7th. The FSS stated, "(The firms) operate online, making it easy to misappropriate and disappear with the virtual assets they attract through non-face-to-face methods." They warned that if a company promises high profits while soliciting funds, one should suspect similar transactions and fraud.
However, companies similar to Quantvine continue to gather investors primarily through SNS. All these firms claim to generate revenue through virtual asset trading using artificial intelligence (AI), while not putting their management in front, promoting the company through unverifiable revenue certification posts. It is also the same in that investors must recruit other investors to increase their revenue. Although the names vary, such as the British version of Quantvine, AI quantitative trading, virtual asset mining, and app tech, their essence is a replica of Quantvine.
In reality, Company A claims to guarantee a daily revenue of 6%. As investors attract and raise their levels, both the investment amount and revenue increase. Those promoting investments in Company A assert that despite problems with Quantvine, Company A is a safe investment option.
Company B, which borrows the concept of ChatGPT, is also under suspicion of Ponzi scheme as its methods are the same as Quantvine. Posts claiming to have earned 3 million won after investing 30,000 won in Company B are being shared online. Additionally, companies C, a virtual asset mining firm, and D, which gained massive popularity in Japan and recently entered Korea, are all facing Ponzi scheme allegations. An industry insider remarked, "It doesn't seem to be a new method that hasn't been seen before," while noting that as AI becomes popular, many fraudulent companies employing that keyword have emerged.