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He also assured investors that the team will, most likely, execute a contract swap on the block just prior to the incident. This means that it is possible that all Bruno Block has since released a statement a few hours ago over Telegram. He justified his actions by accusing the CFO Bill Cordes of insider trading and of ignoring his numerous requests to hire more developers. Bruno then went on to warn everyone that there is an imminent global financial collapse, while calling cryptocurrencies a ponzi scheme:.

Go educate yourselves about what is happening with Tether. The entire crypto sphere is a giant Ponzi scheme. I warned all of you, multiple times, in private and public, and nobody listens. He promised to continue working on the Oyster Pearl project, expressing his wishes to only have the token listed on exchanges once the protocol is finished.

He then declared that he might reveal his true identity in the upcoming days. Beginning October , Elmaani — operating under his pseudonym Bruno Brock — exploited a smart contract on the Ethereum blockchain to create new tokens to be sold at a below-market price before creating new ones for himself for free. At the time, Elmaani said he was retaining millions of PRL in accordance with his "founders share" and in the process claimed he had to move his PRL tokens to a different wallet in order to avoid double taxation, per the DOJ indictment.

Elmaani used a coin mixer — a service designed to conceal the true origin or destination of cryptocurrencies on a given blockchain — before transferring funds to family members and friends, after which he transferred them to his own accounts, according to DOJ. The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies.

CoinDesk is an independent operating subsidiary of Digital Currency Group , which invests in cryptocurrencies and blockchain startups. Sebastian Sinclair. By signing up, you will receive emails about CoinDesk product updates, events and marketing and you agree to our terms of services and privacy policy. Markets Daily Crypto Roundup. On Purpose, With Tyrone Ross.