Chinese Court Charges 5 People in Filecoin Based Fraud Pyramid Scheme
How Did It Happen? According to a local report , Lai Mouhang and Lai Moujun established Shenzhen Space-Time Cloud Technology in 2018 and later recruited defendants Hu and Liang. Sometime in 2019, Lai Mouhang reportedly created a Chinese community website and a WeChat public account. advertisement The prosecution asserted that through these platforms, the defendants extensively promoted and exaggerated the investment potential of distributed ledger technology (DLT) . Alongside, they promoted the economic model of Filecoin, which hinges on a block reward system. This mechanism supposedly granted Filecoin tokens to miners who successfully unearth new blocks. Subsequently, the accused purportedly designed a model imitating the economic structure of Filecoin. In particular, they created the Filpool platform under Space-Time Cloud Company. According to the report, they operated under the guise of selling storage servers, cloud computing power, and other p...