Shocking details are now emerging concerning the suspected crypto pyramid scheme, dubbed CryptoShares, that has swindled more than $5 million from people in Zimbabwe.
According to a local daily, Thomas Mhlanga, the person who began the scheme, can not be found and claims his account has ‘been locked.’
Mhlanga, a Zimbabwean based out of South Africa, has been postponing the payments dates since July 2021, giving different excuses until early September 2021 when he told investors to pay 10% of their money that they had invested for him to be able to unlock his account and make all payments.
According to investors, they paid US$30 in joining fee and US$300 initial installment that was given to the one who had successfully brought a new investor.
Moreover, another report indicates that initial investors were lured by the promise that they would receive $2,000 membership payment every month.
Another tactic used by Cryptoshares was to promise Investors a payout that is double the amount of the initial investment.
Besides these, Mhlanga kept coming up with new ideas to fleece investors, such as on its aniniversary, where users were asked to make another $1,000 investment and they would be paid $2,000 after one month.
Because of the false promises, some victims sold off property and even took loans to be able to participate in the scheme.
“Initially, I believed him because I saw a lot of testimonies in his WhatsApp groups not knowing that those who were testifying for getting thousands of payouts were his workers meant to deceive us.”
– Investor, CryptoShares, Zimbabwe
It is alleged that over 50 Whatsapp groups for Cryptoshares exist, where it is thought the platform carries the activities it uses to fleece people.
In a twist, more Whatsapp groups are being formed to trace the runaway Mhlanga.
The social media handles for CryptoShares are reported to also have gone cold.