Crypto Founder Tweets From Beach, Investors Fear for Their Cash
(Bloomberg) -- Investors in cryptocurrency startup Savedroid are wondering whether the founder ran off with their money, the site has been hacked, or if it’s all part of an elaborate joke.
A South Park meme with big, block letters saying "And It’s Gone," was the only thing on the company’s website on Wednesday.
Initial coin offerings, a popular fundraising mechanism for blockchain and crypto startups, have been rife with fraud and hacks. New York-based Satis Group found that 81 percent of ICOs are scams, according to a report last month. Regulators are tightening their grasp on the market globally; U.S. Securities and Exchange Commission issued subpoenas this year as part of a crackdown.
Of course this could all be a publicity stunt. The last tweet on Savedroid’s account was a job post for a social media marketing intern.
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