CryptoPunks Ponzi Scheme Case Study

Also known as CryptoPunks 3000, this scheme was a masterclass in Case Study Template of how to create a Ponzi scheme in the world of cryptocurrency.

Here's the lowdown:

How it Worked:

The scheme, operated by the infamous CryptoKing, promised its investors a 100x return on investment within weeks, with the caveat that the investor had to invest in limited-edition CryptoPunk NFTs.

What they got was a series of increasingly absurd and confusing updates, culminating in the Great CryptoPunk Heist.

Takeaway:

So, what did we learn from this whole debacle?

CryptoPunks Ponzi scheme taught us:

• Don't invest in anything with a name that sounds like it was written by a 14-year-old on a sugar high
• NFTs are not a viable investment strategy (or are they?)
• A 100x return on investment is always a red flag

Stay vigilant, folks!

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