OneCoin cofounder pleads guilty to fraud for hyping fake crypto

Bloomberg

A cofounder of the OneCoin pyramid scheme pleaded guilty to his role in the global, multibillion-dollar fraud.
Karl Sebastian Greenwood admitted OneCoin, which he founded in 2014 with Ruja Ignatova, the so-called “Cryptoqueen,” was based on a phony cryptocurrency. Greenwood, who was arrested in Thailand in 2018 and extradited to the US, pleaded guilty to three criminal counts of conspiracy and wire fraud in a hearing in Manhattan federal court.
Greenwood admitted hyping OneCoin as competition to Bitcoin despite knowing it was a fraudulent currency whose value was arbitrarily set by its backers, not the
market, and was used to lure victims into a multi-level marketing scam.
“I knew at the time I participated in this conspiracy in the US that it was wrong,” Greenwood, told US District Judge Edgardo Ramos.