A German cryptocurrency company that used several ex-footballers to promote its products has been told to desist its blockchain-based business amid claims that it was operating a pyramid scheme, The Guardian reports. According to German business newspaper Handelsblatt, the country’s banking watchdog, BaFin, handed a cease-and-desist-order to Karatbit Foundation, registered in Belize, and told the company to settle any outstanding financial claims. Founded by former vacuum cleaner salesman Harald Seiz in 2011, Karatbars leveraged Roberto Carlo’s, Patrick Kluivert’s, and Lothar Matthäus’ fame to promise users it would disrupt the financial system with its transformative currency. The business allowed prospective “affiliates” to purchase “cryptonyzed gold” tokens. It then awarded a…
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Thursday, 14 November 2019
