Scam-def-760x400.jpg

A recent study by The Wall Street Journal showed that hundreds of cryptocurrency projects are not unique and deceived investors, promising unrealistic profits.

In the study, analysts examined the White paper 3291 projects that announced the ICO on three sites: ICOBench.com, Tokendata.io and ICORating.com. The results showed that 16% or 513 of them showed signs of “plagiarism, identity theft and promises of unrealistic income.”

WSJ analysts used the following methodology:

  • For definitions of plagiarism were compared sentences with at least 10 unique words for each suggestion in the other white paper;
  • To define identity theft search was conducted on photographs of people associated with 343 projects that lacked key information about team members;
  • To identify unrealistic promises, analysts were looking for in the white paper projects phrases like “guaranteed profits”, “high income”, “no risk” or “minimal risks”. The number of projects that use such phrases, amounted to 2000.

Recall that according to another study by the WSJ, over the past two years, the Commission on securities and stock exchanges of the USA has opened more than 90 cases against scriptcombine. Most of them were launched in 2018, against the background of falling of the stock market.

Earlier this month the SEC made by the organizers of the ICO AriseCoin fraudulent payments of $2.4 million, and the head of Department , Jay Clayton (Jay Clayton) has promised to monitor closely the ICO-sphere in 2019.

Source