In another incident of what appears to be an exit scam, a South Korean exchange that collected over $2.8 Million in an ICO has suddenly shut down.
One More Exit Scam
ICOs have become an easy way for fraudsters to rob gullible investors of their hard-earned money. The latest incident has been reported from South Korea where a cryptocurrency exchange Pure Bit has shut down overnight after raising over 13,000 Ethereum in an ICO.
At the current market value of Ether, the amount swindled works to around $2.8 Million.
The incident was reported by Techcrunch earlier today. According to the article, the project had committed to deliver their native “Pure Coin” to the investors.
According to Pure Bit model, token holders would receive a share of the profit generated, and a discounted fee would apply to them.
It is reported that the exchange was up yesterday and can’t be accessed today. Users trying to access the website are returned a “Hmmm… can’t reach this page” error message.
To further rub salt to the wounds of the investors, the fraudsters posted “Sorry” and “Thanks” messages on their social media channels.
The Facebook page has vanished, and other communication channels have also been removed.