We continue to warn against the crypto exchange Blockchain.com. Co-founded by US citizen Peter Smith (@onemorepeter), the crypto exchange has apparently lost a lot of money recently. In early May 2022, the 18-billion Terra-Luna scheme exploded and triggered the collapse of the crypto hedge fund Three Arrows Capital (A3C) shortly after. Blockchain.com was also invested in #3AC and lost a lot of money in the process. Since then, complaints have been mounting on Trustpilot about payouts not being made. Clients start to call for lawsuits and criminal investigations.
Source Of Funds For #3AC Investment?
Under the terms of the Blockchain.com User Agreement, the company may not use the Client Funds for its own purposes. Therefore, it cannot invest the client’s funds. Where Blockchain.com got the money to invest in #3AC is yet to be determined. On June 15, 2022, CEO Peter Smith asserted in a notable Medium post titled “In Times of uncertainty you can depend on Blockchain.com” that his company would be a safe haven during turbulent times. Clients’ funds would be paid out on demand. Not a word did the CEO mention that his company was involved in the #3AC scandal and apparently lost a lot of money. His statements were thus misleading and meant to discourage customers from withdrawing their funds.
Shortly after the outbreak of Crypto Winter with the Terra Luna collapse, the number of 1-star scam alerts on Trustpilot and complaints about problems with KYC and withdrawals also started to increase. Of the more than 6,000 reviews submitted, 59% have a 1-star rating. Blockchain.com seems a zombie but Peter Smith and his management team belong held accountable.
Share Information
If you have any information about Blockchain.com, Peter Smith and his management team, and/or details about the investment in 3AC, please let us know via our whistleblower system, Whistle42.
