The U.S. Department of Justice has initiated a compensation process for victims of the $4 billion OneCoin cryptocurrency Ponzi scheme. Funds are being distributed from assets seized from individuals involved in the fraud.
More than $40 million in forfeited assets is available for individuals who purchased OneCoin between 2014 and 2019 and incurred a net loss. This initiative aims to return funds to those harmed by the scheme. OneCoin, launched in 2014, falsely claimed to rival Bitcoin but ultimately collapsed after users discovered its lack of utility, leading to worldwide investigations.
OneCoin founders sold a false promise, costing victims over $4 billion. The Department of Justice stated its commitment to seizing criminal proceeds and prioritizing victim restitution.
Co-founder Karl Sebastian Greenwood was sentenced to 20 years in prison in September 2023. The other founder, Ruja Ignatova, remains at large and is listed as one of the FBI’s “Ten Most Wanted Fugitives,” with a $5 million reward offered for information leading to her capture.