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Users of the Chinese EOS Ecosystem wallet lost $52 million worth of coins

Users of the Chinese EOS Ecosystem wallet lost $52 million worth of coins

The Chinese cryptocurrency wallet EOS Ecosystem, which promised users high interest rates for storing assets, suddenly stopped functioning, with $52 million worth of assets remaining on the wallets.

According to local publication ChainNews, EOS Ecosystem users lost access to their wallets on Monday, and apparently, customer funds were withdrawn from the company’s service accounts.

Since the advent of the EOS cryptocurrency, users have suffered from a large number of scams operating in this ecosystem. Thus, the activities of companies such as EOS Vote, EOSCUBE or EOSFIN ended in high-profile scandals. All these applications were later called financial pyramids.

ChainNews has previously reported that the EOS Ecosystem application has all the features of a pyramid and does not own a node in the EOS network, although it claims this. In 2019, the project was sued in the Tengzhou city court with charges of creating a pyramid scheme and collecting 33 million EOS coins (about $81 million).

Recently, the center for information technology development of China (CCID) released another rating of cryptocurrencies, in which, according to established tradition, the first place was taken by the EOS project.