Journalist Hayden Otto has posted on Twitter a short video that would portray the Beijing police raid on TRON’s offices. Otto reports that in China there would be many angry people, some of whom say things like “TRON is a scam“.
The video is in Chinese, so it’s hard to understand what’s being said, but Otto has also published a second one that shows some people evidently upset and concerned.
Meanwhile, Whale Alert has warned of a massive transfer of funds in TRX with a transaction worth over $23 million.
The pyramid scheme was called “Wave Field Super Community”, and last week it suddenly closed. At the same time, TRON in China is known as the “Wave Field” and the pyramid scheme used TRX tokens.
According to hecaijing.com, users participated in the organisation’s dividends by registering as super community nodes, depending on the TRX invested, and were promised huge earnings, up to 1% per day.
The scam led to total estimated losses of at least 200 million CNY (30 million dollars) and has also led to suicide.
The scammed users are furious with Justin Sun, the TRON Foundation and BitTorrent, for not having publicly and clearly dissociated themselves from this pyramid scheme, also claiming that TRX has benefited from the increase in purchases due to this scam.
Wave Field Super Community claimed to be a so-called “Super Representative” of TRON, which is one of the 27 nodes with special status on the platform: neither Sun nor the TRON Foundation have publicly dissociated themselves from this scam until the burst of the bubble.
In fact, only on July 1st, the day after the closure of the “Wave Field Super Community” website, Sun published a late warning on the Chinese social network Weibo saying to be careful about Ponzi schemes that use the name TRON, but without explicitly mentioning Wave Field Super Community.
However, it should be noted that, for the time being, the price of TRX does not seem to have been affected much by this.