Five individuals have been arrested by Hong Kong police forces in connection with the collapse of MyCoin, an alleged bitcoin trading platform.
The individuals taken into custody on 5th March were allegedly involved with soliciting funds for the scheme and holding events to attract potential investors. Hong Kong police searched the home of at least one of those arrested the same evening, the newspaper said.
The Morning Post reported those arrested have not been charged with any crimes:
The arrests come weeks after news first broke that Chinese investors were defrauded by MyCoin.
Hong Kong law enforcement officials continue to look for individuals connected with an investment company named Rich Might Investment, including its former director William Dennis Atwood.
It remains unclear whether MyCoin, marketed as a bitcoin exchange for local investors, ever actually held deposits of the digital currency. Early reports suggest that MyCoin may have functioned as a pyramid or Ponzi scheme.
At least one investor has claimed that the company promised payouts if more investors were referred to the scheme.
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