Angry crypto investors from South Africa went after the person behind the Bitcoin Wallet Ponzi scheme as we previously reported here in our latest cryptocurrency news.
Many of the investors put their money into the Bitcoin Wallet scam hoping to double their money so they decided to burn down the house of the operator of the cryptocurrency scheme, Sphelele Sgumza Mbatha.
According to the Times, the angry crypto investors set Sgumza’s house on fire and other properties as well that belonged to Mbatha who reportedly was the operator of the scam which was based in Kwa-Zulu Natal’s town of Ladysmith. Among the many items that got destroyed in the fire, including a very luxury vehicle that belonged to Sgumza. Before setting the house on fire, his house also got looted with furniture and electronic items getting stolen and driven away in a light truck. It was not clear whether the looting had something to do with the angry crypto investors or just opportunists.
The people that invested in the scam have previously gone after Sgumza to no avail. The hunt started on Tuesday night when the investors tried to get into the Bitcoin Wallet’s premises in a bid to try and get their money back after the news emerged that the investment scheme had collapsed. In the process, the staff of the company was assaulted by the angry investors before they were taken away to the local police station. The fake reports noted that Sgumza has been arrested which led to a massive group of people to go to the police station.
Just a few weeks ago, Sgumza earned the nickname ‘’Lord of Ladysmith’’ because of his luxurious lifestyle. On the streets, he became very popular as the Bitcoin Wallet’s popularity grew. The trigger for the bad turn came over the weekend after the reports stated that the Ponzi scheme has closed the shop after running out of money to pay the investors. Bitcoin wallet, of course, denied the reports saying that they are only moving operations online in order to cater to the massive demand.
As noted in the altcoin news, Sgumza disclosed that the Bitcoin Wallet website has been hacked. He also later claimed that he was not the CEO of the company but only an employee.
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US Treasury Sanctioned Major North Korean Hacker Groups For Cyberattacks
“Treasury is taking action against North Korean hacking groups that have been perpetrating cyber attacks to support illicit weapon and missile programs. [...] We will continue to enforce existing U.S. and UN sanctions against North Korea and work with the international community to improve cybersecurity of financial networks.”In August this year, many best cryptocurrency news sites talked about the US Treasury and its attempts to sanction hacker groups. The news also reported that the United Nations claimed that North Korea had netted around $2 billion by hacking banks and cryptocurrency exchanges. The UN Security Council North Korea Sanctions Committee also came up with a statement, saying that these hackers formed an essential part of the government's funding, reporting the following:
“Democratic People’s Republic of Korea cyber actors, many operating under the direction of the Reconnaissance General Bureau, raise money for its WMD (weapons of mass destruction) programs, with total proceeds to date estimated at up to two billion US dollars.”On September 1 this year, we also reported that the North Korea official state media denied allegations of massive theft by North Korean agents. The KCNA cited a statement from the National Coordination Committee of the DRPK which accused the US and other hostile forces of spreading slanderous rumors. The statement read:
“Such a fabrication by the hostile forces is nothing but a sort of a nasty game aimed at tarnishing the image of our Republic and finding justification for sanctions and pressure campaign against the DPRK.”The statement also added that the UN is "re-enacting the same old trick as the fascist propagandists of Hitler used to use."
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“Such a fabrication by the hostile forces is nothing but a sort of a nasty game aimed at tarnishing the image of our Republic and finding justification for sanctions and pressure campaign against the DPRK."The United Nations report that was issued last month stated that Pyongyang had launched ‘’widespread and increasingly’’ sophisticated online attacks on crypto exchanges and banks. North Korea accused to have stolen more than $2 billion in order to a weapon of mass destruction programs and the report added that the intelligence agency of the country the Reconnaissance General Bureau had supervised the said cyber attacks. North Korea’s denial came only two weeks after the country criticized the US and South Korea for making too many military threats against the communist state. Last August, Pentagon tested the ground-launched missile for the first time since the United States retraced from the Intermediate-Range Nuclear Forces Treaty. On the other hand, North Korea has carried out a missile as well and weapons tests since Donald Trump met with the leader of the country indicating that the summits have not reached a resolution. The concerns for the US are the ways North Korea receives its funds to fund the missile programs despite being subjected to heavy sanctions. The UN also believes North Korea initiated more than 3 attacks across 17 countries with a particular focus on bitcoin which flows across nations via financial pipelines as we can read in the latest cryptocurrency news reports. The additional evidence that was gathered by cybersecurity company FireEye provided the same data. As per the cyber investigation company stated that the criminal outfit is known as ‘’Lazarus Group’’ has spied the affected banks and exchanges if not hacked them:
"North Korea works through small “front” companies some owned by private foreign trading partners to move currency and bartered goods.’’
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